MercoPress. South Atlantic News Agency

Good news for Chile, copper price soaring on Chinese demand

According to the Chilean Copper Commission, Cochilco, the annual average of copper rose to US$ 3,66, well above the US$ 2,88 of the 2021 national budget

Good news for Chile. The price of the country's main export, copper, reached this week its highest international value in eight years and nine months, at US$ 3,81 the pound, according to the latest reports from the London Metal Exchange.

Last Friday the price stood at US$ 3,63, the pound, said a report from the Chilean Copper Commission, Cochilco, and on Monday, US$ 3,81, which represents an annual average of US$ 3,66, well above the US$ 2,88 on which the Chilean national budget for 2021 was estimated.

The sustained increase of copper prices is boosted by the recovery of the Chinese economy and the huge stimulus plan announced by the new administration of United States.

“Several factors have converged for the mini cycle of the increasing price for the red metal. Above all the US elections with all the pledges from president Joe Biden administration to inject the necessary stimulus to prop the US economy. Likewise the powerful demand from China, which at times seems insatiable”, Manuel Viera, head of the Chilean Mining Chamber pointed out.