Copper Slips on Geopolitical Jitters

2026-07-13 03:47 By Jam Kaimo Samonte 1 min. read

Copper futures fell to around $6.16 per pound, giving back some of last week’s gains as escalating tensions in the Middle East kept inflationary pressures and interest-rate hike expectations in focus, clouding the demand outlook for industrial metals.

The US carried out its fourth strike in a week against Iran on Sunday in retaliation for an Iranian attack on a Cyprus-flagged container ship.

Tehran declared that the Strait of Hormuz would be closed "until further notice," though the claim was dismissed by the US Central Command.

Rising oil prices revived concerns over inflation and tighter monetary policy, with markets expecting the Federal Reserve to raise interest rates at least once before the end of the year.

Investors are now awaiting key US inflation data and Fed Chair Kevin Warsh’s appearance before the US Congress this week.

Copper, widely regarded as a barometer of global economic growth, remained highly sensitive to changes in the economic and monetary policy outlook.



News Stream
Copper Slips on Geopolitical Jitters
Copper futures fell to around $6.16 per pound, giving back some of last week’s gains as escalating tensions in the Middle East kept inflationary pressures and interest-rate hike expectations in focus, clouding the demand outlook for industrial metals. The US carried out its fourth strike in a week against Iran on Sunday in retaliation for an Iranian attack on a Cyprus-flagged container ship. Tehran declared that the Strait of Hormuz would be closed "until further notice," though the claim was dismissed by the US Central Command. Rising oil prices revived concerns over inflation and tighter monetary policy, with markets expecting the Federal Reserve to raise interest rates at least once before the end of the year. Investors are now awaiting key US inflation data and Fed Chair Kevin Warsh’s appearance before the US Congress this week. Copper, widely regarded as a barometer of global economic growth, remained highly sensitive to changes in the economic and monetary policy outlook.
2026-07-13
Copper Rebounds as Risk Appetite Improves
Copper futures climbed to around $6.26 per pound on Friday, reversing losses from earlier this week as investor appetite for risk assets improved, led by a rebound in semiconductor and artificial intelligence-related stocks. Market participants also looked past the renewed fighting in the Middle East after reports indicated that the US and Iran will continue peace negotiations aimed at securing a lasting resolution to the conflict. Meanwhile, oil prices retreated from recent highs, helping ease inflation concerns and reduce fears of aggressive interest rate hikes, which improved the outlook for manufacturing activity. Even so, markets continue to expect the Federal Reserve to raise interest rates at least once this year. Copper, often viewed as a barometer of global economic growth, remained sensitive to shifts in the economic and monetary policy outlook.
2026-07-10
Copper Drops on Middle East Escalation
Copper futures fell toward the $6 per pound mark, the lowest in two weeks, and tracking the pullback in base metals after the escalation in the Middle East war strengthened the dollar and hampered the outlook on global manufacturing. The US and Iran exchanged attacks, prompting Washington to block Iranian energy sales and President Trump to label the current ceasefire as invalid. Energy costs rose and lifted credit costs across the globe, hampering the outlook for manufacturing activity. The developments offset supply concerns for copper as the Middle East due to the shortage of sulphuric acid since the start of the conflict, essential in the copper refining process. This is partly because of higher exports from alternative sources, with Canadian export volumes of non-metallic minerals, which are led by sulphur, rising 50% on the month in May.
2026-07-08