Market 'Yet to Fully Experience' Aluminum Shortfall from Iran, Says Timna Tanners

Shortfalls could persist longer than current expectations and drive up the price of aluminum as an impact of war with Iran says Timna Tanners, managing director of equity research for Wells Fargo. Tanners talked about the different impacts of the war on commodity prices, including copper which neared record highs on Tuesday due to a rise in demand from China and fears about supplies of sulfur in the Mideast. Copper jumped above $14,000 a ton, closing in on a record high as a rebound in Chinese demand and mounting supply risks outweigh concerns about the Iran war’s impact on global growth. Prices rose as much as 1.2% to $14,106.50 a ton on the London Metal Exchange, inching closer to an all-time high above $14,500 a ton set in January. The move came even as the Iran war truce remains fragile, with US President Donald Trump showing signs of frustration at a lack of progress in negotiations. Copper futures traded on New York’s Comex jumped to a fresh record of $6.6455 a pound. The bellwether industrial metal has rallied strongly in recent sessions on the back of several factors, including a recovery in Chinese demand and a squeeze on Middle Eastern supplies of sulfur, which is used in some forms of copper production. It’s also become highly correlated to US equity markets as artificial intelligence stocks have surged, given its use in electrical wiring.  -------- Watch Bloomberg Radio LIVE on YouTube Weekdays 7am-6pm ET Saturday & Sunday 7am-10am ET WATCH HERE: http://bit.ly/3vTiACF Follow us on X:   / bloombergradio   Subscribe to our Podcasts: Bloomberg Daybreak: http://bit.ly/3DWYoAN Bloomberg Surveillance: http://bit.ly/3OPtReI Bloomberg Intelligence: http://bit.ly/3YrBfOi Balance of Power: http://bit.ly/3OO8eLC Bloomberg Businessweek: http://bit.ly/3IPl60i Listen on Apple CarPlay and Android Auto with the Bloomberg Business app: Apple CarPlay: https://apple.co/486mghI Android Auto: https://bit.ly/49benZy Visit our YouTube channels: Bloomberg Podcasts:    / bloombergpodcasts   Bloomberg Television:    / @markets   Bloomberg Originals:    / bloomberg   Quicktake:    / @bloombergquicktake