The pound of the commodity is close to the barrier of US $ 3.1. Best of all, it should keep going up.
Copper has become the balm of the Chilean economy and on Tuesday it reached a new high since June 2018.
According to Cochilco, the price of the raw material was quoted at US $ 3.08 on the London spot market, which represents an increase of 1.68% in relation to the close of the previous day.
The three-month forward price shows a jump of 1.7%.
The rise comes amid positive signs of recovery in the Chinese economy, the world’s main consumer and Chile’s largest trading partner, raising expectations that the red metal will continue to rise in the coming days.
Rising demand from the world’s top user has been one of the main drivers of the recent copper rally, with prices trading near a two-year high, the agency said.
The country’s main export product was affected like everyone else by the coronavirus and the effect on the world’s main economies, but it quickly came out of that hole.
In fact, since its low on March 23, the price has already risen 50% and the Central Bank raised its forecast for the average price to US $ 2.80, according to its latest Report.
In this context, Goldman Sachs kept copper as its “favorite” commodity.
“Our view remains that copper can continue to be stronger from here on, as demand for properties in China remains high and supply continues to grapple with the effects of Covid-19,” the report reads prepared by the team led by Jack O’Brien, CEO of the US bank.igh and supply continues to grapple with the effects of Covid-19,” the report reads prepared by the team led by Jack O’Brien, CEO of the US bank.