Bank of America: Lowered Copper and Aluminum Price Forecasts, Expects Increased Volatility

On Monday, April 7, Bank of America warned that due to ongoing trade tensions, volatility in the metal markets has intensified, leading to a downward revision of its 2025 price forecasts for copper and aluminum. The bank also highlighted uncertainties surrounding US tariffs and global policy responses.

Strategists at Bank of America wrote in a report that with changing rules, volatility dominates. They believe that volatility will intensify as tariff and trade policy actions, along with reactions to these actions, take effect.

The bank lowered its 2025 copper price forecast by 6% to $8,867 per mt ($4.02/lb) and also revised down its aluminum price forecast, citing demand risks from slowing global economic growth and potential US dollar strength. The coal price forecast was also reduced, while the iron ore price forecast was slightly raised due to improved fundamentals.

Meanwhile, Bank of America recently raised its gold price forecast, supported by macroeconomic uncertainties and investor risk aversion.

Uncertainties are unfavorable for global competitive growth, including in the US, and may negatively impact metal prices, the bank stated.

"We believe tariffs are detrimental to consumers and industries," the bank added. Although deregulation and tax cuts may support US economic growth, Bank of America noted that these measures are unlikely to fully offset the loss of global demand.

To learn more about the dynamics of the copper industry chain, you are invited to attend the CCIE 2025 SMM (20th) Copper Industry Conference and Copper Industry Expo, hosted by SMM, which will be held grandly in Nanchang, Jiangxi from April 22-25, 2025.Over 3,000 industry elites, representatives from upstream and downstream enterprises in the copper industry chain, government officials, industry associations, third-party equipment, logistics and warehousing, as well as experts from universities and research institutions will gather together. The conference covers mines, smelting, copper processing, trade, recycling, and end-use applications, encompassing the entire copper industry chain.

At the conference, more than 100 exhibitors will showcase the latest copper processing and smelting equipment, high-quality raw material suppliers, and new-type copper-based materials, highlighting the innovation and vitality of the copper industry.

The conference features a variety of exciting activities: the main forum focuses on global copper market trends, raw material supply, policy impact analysis, and market direction interpretation. Sub-forums delve into industry hot topics such as electrical power transmission and distribution, secondary copper, copper-based new materials, hardware and plumbing, and ESS. During the conference, a two-day field trip will visit 12 representative enterprises in the copper industry with a cumulative capacity of 1 million mt, sharing cutting-edge technologies and valuable experiences to help upgrade the copper industry chain and promote high-quality industry development.

The CCIE 2025 SMM (20th) Copper Industry Conference and Copper Industry Expo will help you grasp industry trends, expand your network, and seek business opportunities! SMM cordially invites you to gather in Nanchang, Jiangxi from April 22-25, to unite in the new era and jointly plan for new development!