Red Cloud Securities' Hoffman forecasts copper price rally in 2025

Red Cloud Securities strategist Ken Hoffman outlined multiple factors supporting higher copper prices this year in an interview with Bloomberg. The main one is growing demand for the metal, which plays a crucial role in the energy transition and the development of modern technologies. Another key driver for price appreciation is the risk of tightening global supply, compounded by mounting pressure on copper shipments from the US. This week, Donald Trump announced 50% tariffs on copper imports, with the measures set to take effect on August 1, Bloomberg reports.

Hoffman notes that a weaker US dollar will pose an additional challenge for producers. The greenback has already lost about 15% this year, and metals priced in this currency typically rally when it depreciates.

Trump’s unpredictable trade policy decisions continue to keep markets on edge. Both buyers and suppliers of copper, as well as other commodities, are struggling to navigate the constantly shifting trade landscape, the Red Cloud Securities strategist notes.