Bank of America: Cut copper and aluminum price forecasts, expecting increased volatility
April 9, 2025
On April 7, Bank of America warned of heightened volatility in metals markets due to ongoing trade tensions, cutting its price forecasts for copper and aluminum through 2025 and noting uncertainty over U.S. tariffs and global policy responses. As the rules change, volatility dominates, Bank of America strategists wrote in a note. We believe that volatility will intensify as tariff and trade policy actions and reactions to those actions play out. The bank cut its 2025 copper price forecast by 6 percent to $8,867 per ton ($4.02 / lb), while also cutting its aluminum price forecast, citing demand risks from slowing global economic growth and a potential stronger U.S. dollar. Coal price forecasts were also lowered, while iron ore prices were slightly raised due to improving fundamentals.
