Copper looks better than aluminum medium-term, says JPMorgan as it downgrades Alcoa
Alcoa cut to underweight on valuation grounds but JPMorgan sticks with overweight call on Freeport McMoRan.
While both industrial metals have performed robustly of late, the threat of incremental supply poses downside risk for aluminum, analyst says
Published: Jan. 8, 2026 at 9:58 a.m. ET
Industrial metals have benefited from supply disruptions, a weak dollar and robust demand Photo: Getty Images/iStockphoto
The copper rally is likely to continue but the gains for aluminum are more at risk, said a top Wall Street bank as it downgraded producer Alcoa.
Copper HG00 is surfing close to an all-time high, having recently pierced $6 per pound. Aluminum recently exceeded $3,000 per metric ton, the highest since spring 2022.
About the Author
Jules Rimmer is a markets reporter in London.Rimmer spent more than 30 years as a trader and stockbroker in financial markets, starting at Salomon Brothers in the Liar's Poker era, taking in ING Barings, Jefferies and ending it in emerging markets at Investec. He hung up his headset and pivoted to journalism in 2021.