Copper hits all-time high, Brent nears century mark

MUMBAI: Copper and crude oil, two important industrial raw materials for several industries, are on a tear. According to notes from Vedanta and ICICI Securities, a combination of factors like tightening mine supply, especially from Chile, shifting global trade flows amid potential US tariffs on refined copper, and accelerating demand from electrification, renewable energy, power infrastructure and AI are behind the recent rally in copper prices.For crude prices, the rally is mainly on the back of rising geopolitical tensions in the Persian Gulf region, one of the major sources of crude oil and gas globally.Coming at a time when the economy is facing a sluggish demand environment, the rise in prices of these commodities is raising fears that several companies may have to either go for a price hike or absorb higher costs, squeezing profit margins.