Copper Is Hot! Here’s the Next Move - 1/8

November 23, 2025, we cited BHP’s view that global copper demand could climb sharply over the coming decades, driven by three structural forces: global copper demand could rise by around 70% to more than 50 million tonnes per year by 2050.

We also highlighted copper leverage through Global X Copper Miners ETF (SYM: COPX). Since then, both have delivered meaningful upside.

FCX is now about $55.14

• take some wins off the table. Not because the long-term thesis is broken — but because strong uptrends typically do not move in a straight line. After a sharp run, it’s normal to see surpassed $13,000 per metric ton and noted a 40% surge in 2025 as the market increasingly focuses on supply risk meeting AI and electrification demand.

  When you see a commodity and its equities move that quickly, the higher-probability path is often:

  So the near-term play is about

  Why copper can still explode higher longer term Even if copper cools off in the short run, the longer-term supply/demand setup remains compelling. 1) Data centers and AI are becoming a real copper demand engine The AI buildout isn’t just chips and servers — it’s electricity. And electricity infrastructure is copper-intensive. BHP estimates the copper used in data centers will grow ~3 million tonnes per year by 2050 — an increase it compares to the combined output of the world’s four largest copper mines. That matters because it reframes “digital demand” as durable and rising — not cyclical. 2) Power grids are the bottleneck (and the investment is real) Copper is the metal of electrification, and electrification is increasingly grid-constrained. Reuters has highlighted that global power-grid expansion and modernization is accelerating, with record investment levels and demand rising from EVs and data centers alongside renewables integration. Edge on the Street Gold Ran First - But Silver's Chart Looks Ready to Follow declining ore grades, higher capital costs, and long project timelines. This is why copper is often described as one of the more difficult critical minerals to scale quickly. Small Caps Daily Learn how YDES is turning groundbreaking science into real-world healthcare solutions. Practical trade plan: how to handle copper now Below is a simple framework we’d use to manage the position from here. It reduces emotional decision-making if volatility spikes. It creates dry powder to buy opportunistically on the next pullback. A common approach is trimming one-third to one-half of the position after an extended move, while keeping a “core” stake for the longer-term thesis. Step 2: Define your re-entry and add zones (don’t chase) Instead of buying after a big run, let price come to you. Moving-average approach: look for pullbacks toward key trend levels (commonly the 20-day or 50-day moving average) and scale in if the trend remains intact. Support/structure approach: add in layers on pullbacks toward prior consolidation zones (where buyers previously stepped in). You are not trying to buy the exact low. You are trying to buy good entries with defined risk. Step 3: Use options (if appropriate) to get paid while you wait If your audience is options-capable, copper-linked equities can be suitable for income overlays during consolidation: Cash-secured puts: If you want to add exposure but only at lower prices, selling puts can set a “buy zone” where you’re comfortable owning shares. These tools can help monetize volatility during digestion phases — but they require disciplined sizing and risk controls. Step 4: Pick the right instrument for your objective Direct copper exposure (for advanced traders): futures or copper-linked ETPs (exchange-traded products) can track the metal more directly, but they come with different risks. Step 5: Keep the long-term thesis, but respect the short-term tape The copper story is real. The demand drivers are durable. The supply constraints are structural. But the market still moves in cycles. The best results usually come from combining: a long-term core position, and a tactical sleeve you trim and rebuild as the trend breathes. Found this helpful? Share it with others. Share Article Written by Ian Cooper Our Flagship Publication Discover Great Companies Trading at a Discount Join Behind the Markets Previous Washington Just Lit a Fire Under U.S. Drone Companies - 1/6 Next 3 Energy Stocks to Buy and Hold Forever - 1/9 How can I assist you?