Copper Prices: Check Live & Historical Copper Spot Prices

What Is Copper?

Copper is a brownish-orange metal used in countless applications. Commonly found in the electrical industry for its conductive properties, copper is also used in ship lining and jewelry. Construction industries use copper for roofing, doors, and handrails, and its antimicrobial and biostatic properties make it perfect for frequently-touched surfaces.

Copper is among the top three most commonly consumed metals in the world, following iron and aluminum. It's present in metal alloys like sterling silver, cupronickel (copper-nickel), and bronze, and its implementation over thousands of years is a testament to its endurance.

Copper is also a native metal, which means it can be used in its natural form. Even copper scrap has value, as copper is one of the few metals whose value and function do not dwindle after recycling.

Copper's malleability makes it easy to work with, and it is readily available worldwide despite the growing potential of a copper shortage. Copper has been a valuable commodity for thousands of years, and its uses have only increased as more industries appear. It is easy to obtain and trade.

Is Copper a Precious Metal?

No. Although copper has often been used in circulating coinage, it is not considered to be a precious metal like Gold and Silver. Copper is instead classified as base metal or industrial metal.

In recent years, new technology has caused demand for copper to go up. The automotive industry forms one of the most substantial copper demands in the world, in part due to modern electric vehicles that use copper wiring. Smartphones and electric household appliances and their respective production also require copper parts.

Rising demand for copper threatens to outweigh its supply. Miners are finding less copper in digs, and unearthing new copper sources through mining isn't as easy as it sounds. The most abundant supply of copper comes from the U.S. and Chile, but even in those areas, this metal content isn't infinite.

How long the supply of copper will be sufficient is yet to be determined, though at this point it is not rare enough to force markets to search for alternatives. No matter where someone is in the world, whether in New York, China, or London, silver tends to hold its value across markets.

When Will Copper Prices Go Back Up?

Copper prices have been in a bearish trend recently, and they're not necessarily expected to rise anytime soon. In fact, most forecasts for copper prices over the next few years continue to be bearish at worst and neutral at best.

Some experts, however, predict that copper will start on a bullish trend by 2022. If copper prices rise, they could do so very quickly.

This year has seen copper prices dipping into a trading range, which has yet to resolve to the upside. According to Comex and a number of industry leaders, copper will need to break above 2018's high, when copper rose to well over $3, to establish a major bull trend.

If nothing else, copper prices are not expected to take a dramatic downward turn, which is good news for investors.

What Drives Copper Prices?

There are a few key influences when it comes to copper prices. It's not a simple science, and predictions can only go so far. The major factors contributing to copper prices are supply and demand, economic growth, inflation, and the value of the dollar.

As with most investments, supply and demand dictate in large part how copper prices move. Mine outputs, while increasing in some areas, may decrease in others as they each exhaust their copper supply.

Regarding inflation, patterns, and trends over recent decades give some market data indication as to how copper prices will fare in stocks and futures over the next few years. Despite the fact that the prices of copper and other commodities have fallen since 2014, there will always come a point at which they must stabilize, so it is a good idea to keep silver on your watchlist.

There's some market correlation between the value of the dollar and copper prices, too. When the dollar's value goes down, copper prices often go up.

Is Copper a Good Investment?

The short answer is yes, physical copper bullion can play a relatively small but vital role within a diversified investment portfolio. Copper serves as a store of value over time. Since it is a hard asset, copper is likely to go up in the future as the dollar depreciates.

Consider copper's history, too. It's been used for thousands of years with increasing demand as new technology springs up all over the world. And if mines produce less copper, this means what is available will be that much more valuable.

It's worth noting, however, that many experts say it's wise to invest in multiple metals to diversify and have something to fall back on if one metal's value decreases.

While copper prices may seem grim now, this isn't a permanent indicator of the metal's value. When investing, it's essential to think ahead, and copper isn't going out of style anytime soon. If you're looking to invest in something that will retain value far into the future, copper is worth considering.