Copper prices quadrupled due to rapid increase in demand, Mr. Andouland, the top commodity trader

Hedge fund manager Pierre Anduran, who is one of the most famous commodity traders in the world, believes that the rise in copper prices will continue, and supply cannot keep up with rapidly increasing demand, and there is a possibility that it will rise to 40K dollars per ton nearly quadrupling within the next few years.

French fund managers told the Financial Times on Friday that demand for copper, which will play a central role in the global energy transition, has surpassed supply in the second half of this decade, and prices have further expanded the 28% increase year to date, and recorded a record high of 11,104.50 dollars per ton at the beginning of this week.

Mr. Anduland told FT that “growth in copper demand is doubling not only due to electric vehicles, solar panels, and wind farms, but also global electrification such as military applications and data centers.”

Mr. Anduland also has a bullish view on other commodities, including aluminum. Since aluminum is an alternative to red metal, it is thought that prices will continue to rise for the same reason as copper, but it is said that they no longer anticipate a drastic rise in crude oil.

He said, “Geopolitical risks such as Russia and Gaza have not affected supply. Therefore, I think crude oil prices are relatively stable. We anticipate that it will continue like this in the future,” he said.

The US copper futures market fell for the first time this week after an 8-week winning streak, and the previous month's Comex 5-year term (HG1:COM) was -5.5%-5.5% this week at 4.7785 dollars/mmBTU.

Also, the previous month's May Comex Gold (XAUUSD: CUR) ended at -3.3% of $2,332.50 per ounce this week, and May Comex Silver (XAGUSD: CUR) ended at -2.3% of $30.330 per ounce.

Analysts at Macquarie point out that the increase in global demand for copper has been offset by a slowdown in demand growth in China, which has brought about changes in investor sentiment towards copper.

“Considering current fundamental indicators, this movement seems to have gone too far, and the risk of a sharp adjustment is extremely high, even if it has not yet begun,” the company said.