Market News

(Bloomberg) -- Copper surged to a record in Shanghai and rallied in New York, adding to substantial annual gains as investors bet on tighter global supplies in 2026, while also pricing in the impact of a weaker US dollar.

In China, prices gained as much as 4.7% to trade near 100,000 yuan ($14,270) a ton on the Shanghai Futures Exchange for the first time. Futures traded on the Comex in New York climbed as much as 4.2% to $5.8075 a pound, the highest since an unprecedented short squeeze in July. Benchmark trading on the London Metal Exchange will reopen on Monday after the Christmas break.

Copper’s latest leg-up on Friday came as precious metals also bolted higher, with gold, silver and platinum all surging to record highs in a powerful end-of-year rally that has dominated global commodity markets.

Metals have made big gains in December, rounding off a year in which trade dislocations, geopolitical uncertainties, and supply shocks have combined to shake up the industry. On the demand side, copper is expected to be a major beneficiary of the world’s energy transition, helping to make it one of biggest winners in 2025, with a gain of roughly 42% in New York.

Earlier this year, Comex copper contracts spiked to a record in anticipation that US President Donald Trump would impose tariffs. While he ultimately excluded the most widely-traded form of the commodity from levies, that decision is due for a review in 2026. A continued rush of metal into the US has spurred concerns buyers elsewhere may end up scrambling for supplies.

Prices received an additional lift in recent sessions from a slump in the US dollar, with a Bloomberg gauge of the currency on pace for the biggest weekly loss since June. That shift makes raw materials cheaper for most buyers.

On the Comex, copper traded up 3% at $5.744 as of 8:24 a.m. in New York.