A flurry of fresh cancellations in LME copper this month has left market participants questioning the metal's depleting exchange inventories.
Declining London Metal Exchange stocks have seen copper's three-month price surge above $6,500 per tonne this morning, its highest level since July 2018. Stock movements have predominantly taken place across US locations in February, allowing traders to arbitrage price movements between the LME and CME, with the CME's active Comex H9 copper contract recently trading at $6,522 per tonne, and the LME's three-month copper price recently seen at $6,483 per tonne."This looks to be a squeeze. There's a dominant long in the market and a backwardation as a result," Societe Generale's head of metals research Robin...