The price of copper futures will advance as high as 25 percent during the second half of 2012 because of high demand from the globe's largest consumer of the industrial metal, according to Japan's second-biggest bank, cited by Bloomberg.
A commodity derivatives analyst with Mizuho Corporate Bank said the price of copper futures, which closed last year at $7,600 per metric ton, stand a chance of driving as high as $9,500 per metric ton between July and December. Though the price of copper dropped last year, the bank's outlook on the reddish metal remains high, despite the havoc on economies imparted by the sovereign debt scourge tearing through the euro zone.
"The European debt-crisis issues will be the key for most commodities this year," Yuka Kageyama told the news source on Wednesday.
At 12:05 p.m. on Thursday, copper futures climbed 2.5 percent, an 8.85 cent rise to $3.6345 per pound.
The Wall Street Journal reports the industrial metal's healthy performance on Thursday is attributable to the reduced pace of inflation in China as well as strong debt auctions in the euro zone, both of which are likely to drive demand for the metal.
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