The recent copper shortage has been getting a fever. Major exporters have made some news recently. China's state reserve administration announced plans to sell some of its strategic reserves, for example, steel, metals in a move designed to balance prices. The administration would publicly auction a total of 100,000 tonnes of metals in early July.
"We expect more sales from reserves combined with slower underlying demand and seasonal weakness to put a lid on prices in the very near term, but we then expect a rally to new highs over the next 3+ months," Jefferies analyst Christopher LaFemina said.
Also, Major metals supplier Russia's economy ministry plans temporary imposing taxes on copper and other metals exports to fight domestic inflation. This decision will start on August 1st and end on December 31st. The base tax rate will be 15% plus a specific tariff for each metal.
Not just copper, all metals would be connected to inflation from now. Let's pay more attention to metals.
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