London copper prices rose to an all-time high today on prospects for a US-China trade truce.
Copper is one of the most-levered trades to global growth and Chinese growth in particular. It's also benefiting from expectations of demand around electricity demand, either via data centers or rebuilding green grids.
There is a structural deficit building in markets and governments are looking to spur new investments in mines but there are extremely long -- often +10 year -- timelines to develop mines and that sets up the likelihood of a persistent deficit. It's a theme I've been writing about for years and it's certainly working at the moment.
Copper daily London
