Key LME Copper Spread Spikes to Highest Level Since 2021 Squeeze

Spot copper prices surged to trade at a huge premium over later-dated futures on the London Metal Exchange, with a closely watched one-day spread reaching levels not seen since an historic supply squeeze in 2021.

Copper contracts expiring Wednesday briefly traded at a $100 premium to those expiring a day later, in a structure known as backwardation that typically signals rising spot demand. The so-called Tom/next spread was at a narrow discount on Monday, and the spike was among the largest ever seen in pricing records starting in 1998.