Copper Climbs as Traders Roll Positions Despite Soft Chinese Data

Key Moments

Short Covering Drives Copper Higher

Benchmark three-month copper on the London Metal Exchange (LME) rose 1.4% to $11,670 per metric ton by 1058 GMT on Monday, as traders adjusted and extended positions ahead of a key contract expiry this week. This activity helped the market temporarily look past weaker Chinese economic indicators and lingering concerns over the country’s property sector.

The move higher followed a volatile period for the metal. Copper had reached a record peak of $11,952 per metric ton on Friday on concerns about restricted supply, before retreating sharply amid renewed anxiety that an artificial intelligence-driven rally could be at risk.

“Prices are set to remain choppy and volatile intraday into year-end and as we go into the first quarter,” said Alastair Munro, senior metals strategist at Marex.

Copper prices rise as some traders renewed positions ahead of a contract expiry this week, helping the market to put aside weak data and concerns about China's real estate sector, the main consumer, for now. pic.twitter.com/2Tvy9SeqPx

— LWS Financial Research (@lwsresearch) December 15, 2025

Positioning Ahead of LME Settlement

According to a trader, short, or bearish, positions on the LME were being reduced or rolled forward in advance of settlement on Wednesday. This positioning shift contributed to the price support seen in Monday’s session.

LME inventory data showed that about 39% of the 165,875 tons of copper stored in LME-registered warehouses had been designated for delivery out, signaling ongoing physical offtake from exchange-listed stocks.

Comex Stocks and U.S. Trade Dynamics

In the United States, daily inflows into Comex copper inventories, which were already at a record level, continued as participants responded to higher Comex pricing. The U.S. kept refined copper under review while excluding it from the 50% import tariffs that took effect in August.

“As long as there is a significant arbitrage between the LME and CME, I expect to see material still flow into the U.S. as traders capture those profits,” said Samuel Basi, founder of Perfectly Hedged, a risk management and trading consultancy.

China Data Underscores Demand Concerns

Sentiment around demand from top metals consumer China remained fragile. The latest figures showed that the country’s factory output growth slowed to a 15-month low in November, while new home prices continued to decline.

Concerns about China’s property market were reinforced as developer Vanke sought renewed support from bondholders for an onshore debt repayment, adding to broader worries around the sector’s financial health.

LME Base Metals Snapshot

Price action in other major LME-traded base metals was mixed during the session.