Energy crunch drives up global metals prices

Copper prices closed in on a 10-year high on Friday as industrial metals from zinc to aluminium rallied on growing concerns that the global energy crunch would hit production.

The copper price rose above $10,000 a tonne this week as traders gathered in London for LME Week, the industry’s annual event, while zinc rose more than 10 per cent on Friday to hit a 14-year high and aluminium traded at levels last seen during the 2008 financial crisis.

Industrial metals are benefiting from robust demand and supply disruptions due to rapid rises in the prices of gas and coal, which is increasing costs for mines and refiners from Chile to China.