Mocor plans to extract over 40,000 tons of copper from the LME warehouse, exacerbating supply concerns.

On December 5th, it was reported that the price of copper has risen due to anticipated supply shortages. The Switzerland-based commodity trader, Mercuria, has announced plans to withdraw over 40,000 tons of copper from the Asian warehouses of the London Metal Exchange. At current prices, this is valued at $460 million. Mercuria's action is expected to increase the premium of the spot copper contract relative to the three-month copper futures prices. The anticipation of a copper shortage next year is partly due to interruptions in copper mine supply in Indonesia and Chile, as well as accelerated demand growth, pushing LME copper prices to a record high of $11,540 per ton on Wednesday.