In the past, the metal was seen as a gauge on whether global economic activity was ramping up. Michael Widmer, Bank of America's head of metals research told CNBC that the move wasn't really driven by copper demand but really driven by copper supply. Widmer said there is not a lot of mine supply growth and supply disruptions have been creating additional constraints. Demand for copper has remained firm and is also closely tied to increased electrification rather than an economic boom. Osnato said supply disruptions have been pushing consumers to pull metal out of London Metal Exchange warehouses and this is driving up refining costs.