UBS has maintained its positive assessment of the copper market, projecting a larger supply deficit in 2027 and forecasting that prices will move towards $15,500 per metric ton.
The bank estimates that the copper market will record a supply shortfall of 219,000 metric tons in 2026, rising to 379,000 metric tons the following year.
The forecasts indicate an increase of 160,000 metric tons in the annual deficit, reflecting UBS’s expectation of a widening imbalance between copper availability and demand.
Based on its supply outlook, UBS expects copper prices to approach $15,500 per metric ton in 2027.
The bank has also reiterated its recommendation for investors to hold long positions in the commodity, citing its expectations for the market.
In addition, UBS considers potential near-term declines in copper prices as opportunities to add exposure through long positions.
The bank’s outlook therefore combines expectations of a widening supply deficit with a forecast for higher copper prices in 2027, while maintaining its existing positioning recommendation.
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