Goldman sees copper rising as deficit looms on supply threat

Copper will extend gains as the global market swings to shortage because of sustained demand from China and potential supply disruption at the world’s two biggest mines, according to Goldman Sachs Group. A deficit this year would be the first since 2011, says Citigroup. “We expect copper will move into deficit in the coming months, driving the next leg higher in prices,” analysts including Max Layton and Jeff Currie wrote in a report received Wednesday. While the bank’s six-month target remains at $6 200 a metric ton, risks surrounding the forecast are skewed to the upside, they wrote. The metal advanced 1.5% to $5 884 in London on Wednesday.