Investing.com -- Copper mining stocks surged on Thursday as the price of the industrial metal soared to an all-time high above $14,000 a metric ton, driven by speculative buying and expectations of robust demand.
Freeport-McMoRan (NYSE:FCX) stock jumped 5%, Southern Copper (NYSE:SCCO) shares rose 5.5%, while ERO Copper (NYSE:ERO) saw the largest gain at 7%. Other copper miners also rallied, with Hudbay Minerals (NYSE:HBM) up 6%, Ivanhoe Electric (NYSE:IE) gaining 3%, and Taseko Mines (NYSE:TGB) advancing 4%.
Benchmark three-month copper on the London Metal Exchange surged as much as 7.9% to $14,125 a metric ton during Asian trading before trimming gains to $13,935, still up 6.5%. The Shanghai Futures Exchange’s most-active copper contract closed 6.7% higher at 109,110 yuan ($15,708.77).
Analysts attribute the price surge to several factors beyond supply-demand fundamentals, including spillover interest from other hard assets like gold and silver, which have also hit record highs amid geopolitical tensions. A weaker dollar, hovering near multi-year lows, has further supported copper prices by making the metal cheaper for buyers using other currencies.
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