Copper is trading around $14,470 per tonne today, which is ~$400 per tonne (~3%) below its all-time high....despite no news on tariffs and the first Fed rate hike in 3 years. Copper is on course for a weekly gain of ~3%. This is because physical buying has STRENGTHENED this past week. The Yangshan premium, the amount paid above the London Metal Exchange (LME) price to import copper cathode into China, has increased to $124 per tonne today... the highest level since November 2022 (chart below 👇). And, the COMEX continues to trade at a premium to the LME (the 3-month is ~$140 per tonne & the 6-month is ~$400 per tonne). This is not surprising... Governments worldwide are investing heavily in grid infrastructure, rearmament and defence... while hyperscalers are racing to be the first with the largest data-centre capacity. There will continue to be significant buyers of physical copper, whether the Fed continues to hike or not.