Goldman Sachs: Copper prices are expected to rise, but short-term space is limited by $11,000 per ton.

Goldman Sachs released a research report stating that the current high prices of copper, aluminum, and zinc reflect investors' bullish sentiment for 2026, due to expectations of a rate cut by the Federal Reserve, a weak US dollar, and capital expenditures related to artificial intelligence. The bank predicts that copper prices will remain in the range of $10,000 to $11,000 per ton in 2026 and 2027, but aluminum prices have significant downside risks due to increasing supply from Indonesia. The bank forecasts that the short-term upside for copper prices is limited to $11,000 per ton, although they remain optimistic about copper prices in the long term. They believe that the market will continue to be oversupplied in the short term, limiting the upside potential for prices. Additionally, the bank believes that the zinc market is at a critical turning point, with China's export arbitrage set to open. The nickel market may continue to be oversupplied, with prices expected to fall to $14,500 per ton to slow down supply growth.