The medium-term demand picture for copper is set to remain strong. Electric vehicles, wind turbines, and circuitry all need copper in large amounts to conduct renewable energy across its various grids and user applications. This means that any dips lower in copper on the current omicron variant fears are worth considering as copper tends to have a strong start of the year.

Over the last 21 years, between Jan 01 and April 31, copper has risen 16 times out of 25. The average return has been +6.59%. The largest gain was in 2006 with an impressive +62.09% return and the largest loss was in 2020 with a -16.67% loss.

Major Trade Risks:

• Any serious slowdown in Chinese growth could harm this outlook.
• Any serious bad news on the new omicron variant from South Africa could change this outlook.

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