Copper’s slump amid a deepening global trade conflict offers a long-term buying opportunity, according to Citigroup Inc., which shrugged off fears for world growth to boost its long-term forecasts.
“Prepare for a decade of Dr. Copper on steroids,” analysts including Max Layton and Tracy Liao wrote in a July 17 note. The bank sees average annual prices at $8,000 a metric ton in 2022, passing $9,000 a ton by 2028 under its baseline scenario.
The metal, often viewed as a barometer of world economic health, closed Tuesday at $6,152 a ton in London. Copper has spiraled lower in the past six weeks as President Donald Trump upends global trade with disputes involving multiple nations, most critically with No. 2 economy China. Continue Reading →