Copper Prices Rebound Amid Easing Tensions and Demand Improvement

Copper Prices Rebound Amid Easing Tensions and Demand Improvement

Copper prices are showing signs of a near-term rebound as easing geopolitical tensions and improving demand cues lift sentiment. After a sharp sell-off triggered by the Strait of Hormuz blockade, prices recovered on hopes of U.S.–Iran talks, while softer inflation data from China added to optimism around physical demand. However, rising inventories on the London Metal Exchange may cap sharp upside in the short term.

Ajit Mishra, Senior Vice President, Research at Religare Broking, noted that the copper outlook indicates improving upside potential, driven by a shifting geopolitical landscape. China’s Consumer Price Index (CPI) for March 2026 showed a year-on-year increase of 1.0%, a slight cooling from the 1.3% growth recorded in February. Mishra stated that this was supportive for the base metals market, especially copper.

Technical indicators suggest a buy-on-dips strategy, with LME copper jumping to approximately $6.10/lb on April 14. MCX prices are positioned above key moving averages, enhancing bullish prospects. A corrective phase towards the region of 1,270-1,275 is suggested for buying the April derivative, targeting Rs 1,320-1,330 with a stop loss below Rs 1,245.

Source: https://economictimes.indiatimes.com/markets/commodities/news/commodity-radar-why-is-copper-in-a-bullish-trade-set-up-and-offers-buy-on-dips-opportunity-religare-analyst-decodes/articleshow/130286282.cms

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