Issue: 10 Week commencing: 07/06/2021
What is Doctor Copper?
The term Doctor Copper is a nickname associated with Copper for its ability to predict pivotal turning points in the global economy. Due to Coppers widespread applications, from household usages to electronics and power generation, demand for Copper is often linked with the status of the economy. In general, rising Copper prices suggest growth in the global economy due to Coppers extensive use in a variety of industries and products. If the Copper price begins to decline it may indicate a decrease in demand and a pending economic stoppage.
What has Doctor Copper predicted in the global economy?
Copper is heavily interlinked with the performance of the global economy because of the important role that it plays in many of the worlds modern and most progressive industries. The coronavirus pandemic which began in March 2020 in the West is a clear example of how tightly linked the global economy is with Copper. As global economic activity began to slow down the Copper price fell to a 3-year low at £4067.74. Since the beginning of 2021, the world and global economy has started to recover from the aftermath of COVID-19, where Copper prices hit decade highs at £7601.00 per tonne. The Copper price has experienced an extensive growth in the price due to a global economic recovery and the world taking a step closer to major projects such as renewable energy, 5G, key infrastructure, healthcare facilities and electric vehicles and transportation.
Where is the demand for Copper coming from?
As applications for Copper based products continue to grow so will the demand for Copper which is increasingly seen as the modern environmental saviour. The goal to achieve a greener future will ensure a reduction of the global carbon footprint as numerous countries move to renewable energy by implementing technologies such as electric vehicles, wind farms and solar farms which will require numerous Copper applications. Industry experts are urging immediate investment in the sector to guarantee sustainable production. Further, Copper application has become more relevant in healthcare institutions due to its antimicrobial properties and the requirement for further sanitisation in hospitals since COVID-19 became a worldwide issue. In addition, due to the recent COVID-19 restrictions, data centres have come into greater use due to the increased requirement to work from home and the increase in use of 5G networks to keep up with modern technology. Lastly, the new developments of major infrastructure, such as the HS2 line, has played a key role in the increasing demand for Copper due to the electricity usage and a high volume of Copper requirements.
How can ILF help you?
ILF continue to provide customers with the best available supply of Copper, meeting customers’ needs and retaining high inventory levels. ILF are excited for what the future of the Copper industry holds and supporting customers with their new demand.
Have you had an increase of Copper demand? If you have been impacted, we would love to hear from you and find a solution to your challenges.