LME copper inventories see largest daily cancelled warrants rise since May, bolstering prices amid tight supply and strong US-bound flows.
Copper prices edged higher after a 51.4kt increase in LME cancelled warrants, the largest daily rise since May, reignited concerns over tight exchange inventories. The withdrawal follows recent deliveries that briefly eased supply constraints, though analysts warn the relief may be temporary.
LME stocks remain relatively low, with strong metal flows into the US sustaining premiums. Year-to-date, copper is up nearly 15%, though record-high prices are beginning to weigh on demand in China. Inventory movements and US-bound shipments continue to dominate market sentiment.
The market remains vulnerable to further volatility as tight supplies and robust US demand offset demand concerns in China.