Copper Breaks Six Dollars for First Time on Record Grid and AI Demand

The AI Bottleneck

Hyperscale AI facilities require massive amounts of copper for power distribution. With global inventories at multi-year lows, the scramble for refined copper has led to a scarcity premium that is likely to persist through 2026.

Supply Chain Vulnerability

Persistent operational hurdles at major mines in Chile and Peru continue to limit the supply response. Major economies are reportedly treating copper as a strategic asset, with stockpiling efforts further removing available supply from the spot market.