We argue that the real copper price has barely moved in 20 years – current spot price is within 9% (in real terms) of what it traded back in 2006. In nominal terms, the current commodity remains within 15% of prices last seen 17 years ago.
Every investment bank has a favourite narrative for future copper demand, whether that be the explosion of AI data banks, rewiring Europe for its renewables transition, electrification of India, or growth in EVs and associated recharge infrastructure; or a combination of all the above.
In reality, the only reason why you need to invest into copper LT, is not because there is some imminent shortage coming, but simply because it is cheap!
