Copper and iron ore prices hit record highs amid hopes for global recovery
Copper (HG=F) and iron ore prices surged to record highs on Friday as hopes of a global economic recovery creates demand for raw materials.
Spot iron ore broke $200 (£143) a tonne for the first time, while copper, which is seen as a bellwether of the health of the global economy, hit more than $10,200 per tonne in London on Friday, rising 1.4% to reach an all-time high of $10,232.
The move pushed Bloomberg’s index of commodities prices to its highest since 2011, and extended a recent rally in the commodity sector. It also helped propel the FTSE 100 (^FTSE) to a pandemic peak.
The rise in copper and iron was also boosted by strong trading data in China overnight. China’s exports surged last month as America’s recovery from the coronavirus pandemic boosted demand.
Exports rose by more than 32% compared with a year earlier to almost $264bn, mostly driven by demand for PPE and other medical related products. Imports also jumped, up 43.1% from a year ago to $221.1bn.