Morning Bites

📝AngloAmerican has lowered its copper and diamond production guidance for 2026

• Copper production is now seen at 700-760kt in 2026 (8% less than the previous estimate; the difference accounts for 0.2% of global Cu demand). 2027 guidance was reduced just 1%, mainly due to lower ore grades expected in Chile

Overall, concerns about a rising deficit for the red metal would remain a supportive factor for Cu market sentiment in 2026, we believe

• Diamond output: the outlook for 2026 was lowered 15% vs. the previous guidance to 21-26mnct, with no long-term forecasts provided. On our numbers, global gem-quality stone supply might drop ~10% in 2026 vs. 2024 level and >25% vs. 2015-19 average

Despite these cuts, we maintain our cautious view on the medium-term prospects for a recovery in the global diamond market, given the risks to supply discipline related to Anglo American's planned sale of De Beers (which is currently disrupting the price-over-volume strategy)

#diamonds #copper