Copper Prices Surge 30% as 2026 Supply Squeeze Looms
Copper prices are rocketing toward record highs, with London Metal Exchange benchmarks hitting $11,620 per tonne—a 30% year-to-date surge. The rally stems from aggressive stockpiling by US buyers anticipating tariff-driven shortages, while global inventories balloon to 656,000 tonnes, the highest since 2018.
Market dynamics mirror crypto's supply shocks: Like Bitcoin's halving events or Ethereum's EIP-1559 burn mechanism, copper's impending deficit reveals how scarcity narratives drive asset valuations. Industrial hoarding parallels crypto whales accumulating during price dips.
The Kobeissi Letter notes this surge precedes projected 2026 shortages—a timeline coinciding with Bitcoin's next halving and Ethereum's continued tokenomics evolution. Metals and crypto now share volatility catalysts: geopolitical tensions (US tariffs), green energy demand (EVs/AI data centers), and speculative capital flows.
