Current situation:
- The producer price index for copper tube and fittings were up 15.2% month-over-month (up 5.1% in the last update) and was up 42.1% year-over-year (up 20.4% Y/Y last month).
Key factors that could affect supply or price:
- Prices: Currently trading at $4.11 lb., up from the 7-year high of $3.70 lb. in January, but still well above the average over the past 12 months of $2.83 lb., and 75% higher over the past 12 months. Analysts expect the price to average $3.52 lb. on the high side and $2.90 on the low side for 2021.
- Headlines: Fluctuations in the US dollar will keep prices inflated, especially as global demand for product manufacturing increases. The latest manufacturing data from the largest product producing markets show those countries continuing to expand through February. Most analysts remain bullish on pricing, as demand remains high and inventories low.
