Metals Markets Week in Review: Copper Near Records, Gold Steady Ahead of LME Week
KWE Metals Market Desk · · 6 min read
Copper slipped from record territory as US inflation surprised, gold held near $4,150–4,200/oz, and copper concentrate treatment charges hit record lows. What it means for ore buyers and sellers.
The metals complex had a volatile week heading into LME Week in London (from October 19). Hotter-than-expected US inflation revived talk of another Federal Reserve rate hike, a selloff in technology shares spilled into commodities, and an easing of strike risk in Chile took some of the supply premium out of copper. On Friday, October 16, sentiment improved and base metals rebounded.
Copper: off the highs, still historically expensive
LME three-month copper set a series of record highs in 2026, peaking intraday at $14,875 per tonne on September 10, as the prospect of US tariffs on refined copper pulled metal into the United States and drained LME stocks. This week the price fell for three days to roughly $14,280 before recovering to about $14,490 on Friday. A labour agreement at BHP's Escondida mine in Chile removed the most immediate supply risk, while a strike at Antofagasta's Centinela mine remained unresolved.
Concentrates: smelters are paying miners to take feed
The most striking number for producers is in the raw materials market. Fastmarkets' copper concentrate treatment charge index (CIF Asia Pacific) fell to minus $272.20 per tonne on October 9, a record low. Negative treatment charges mean smelters are effectively paying to secure concentrate, because new smelting capacity, especially in Asia, is competing for limited mine supply. Chilean mine output was down about 7% year on year in January to July.
Precious metals: gold holding above $4,100
Gold futures fell 6.7% in September after the Fed's first rate hike since 2023, closing the month near $4,187 per ounce. This week gold traded between roughly $4,145 and $4,195. Silver was more volatile, trading in the high $50s per ounce. Platinum was near $1,640 and palladium near $1,130.
What this means for buyers and sellers of ore
- Copper concentrate and oxide ore sellers are in a strong negotiating position on treatment and refining terms right now.
- High prices with volatile day-to-day moves favour pricing formulas tied to an exchange average (for example, LME monthly average) rather than fixed prices.
- Interest rates and the US dollar remain the main short-term drivers for gold; physical supply and tariffs drive copper.
- Iron ore is weak: Dalian futures recently rebounded from a two-year low.
KWE Metals quotes every lot against grade, quantity, Incoterm and the exchange benchmark on the day, with written confirmation. Live benchmarks are on our Markets page.
Sources
- Fastmarkets, "Base metals head to LME Week 2026 with record-low TCs" (October 14, 2026)
- Bloomberg via Yahoo Finance, "Metals Rebound as Sentiment Improves After Volatile Week" (October 16, 2026)
- Reuters via Mining.com.au and MINING.COM copper reports (October 15, 2026)
- CME Group, Micro Gold, Silver and Copper update (October 2026); Sucden Financial daily base metals (October 16, 2026); MineralPulse Daily Pulse (October 16, 2026)
Prices are market snapshots from the dates shown and change constantly. This article is general information, not investment advice.