BoA: copper may rise in price up to $20 thousand per ton
The cost of copper by 2025 could jump to $20,000 per metric ton, says Bank of America. Prerequisites for this are its growing deficit on the world market and imbalance of supply and demand. This opinion is stated by analysts of the bank in report, published on Tuesday. Available copper reserves in the world may be sufficient only for 3 weeks - at the moment they are equal to the amount recorded at the end of the year. At the moment they correspond to the amounts recorded 15 years ago. years ago. Demand for the metal, meanwhile, is rising as the global economy is recovering from the pandemic, say the bank. That will lead to its shortage, with stocks in the current and 2022 stocks will shrink, experts predict. Growing the likelihood of backwardation - exceeding the price of copper the value of its futures contracts. As an example, the bank cites the situation with nickel in 2006-07, when, amid a deficit, its prices tripled.