Copper Steadies Amid Easing Mideast Tensions

Copper futures steadied above $6.3 per pound on Monday after experiencing sharp volatility last week, as easing tensions in the Middle East lifted market sentiment. The US and Iran suspended strikes against each other over the weekend amid renewed diplomatic efforts, with President Donald Trump reportedly open to restarting peace negotiations. Oil prices declined sharply, easing concerns about inflation and the interest rate outlook. Copper also continued to draw support from its strong long-term demand prospects, driven by the global transition to clean energy and the rapid expansion of artificial intelligence data centers. On the supply side, indications of near-term tightness in top consumer China underpinned prices, while severe storms in leading producer Chile raised the risk of disruptions to copper output.

Copper decreased 2% to 6.3223 USD/Lbs

Copper futures eased below $6.37 per pound on Friday after reaching a more-than one-month peak earlier this week, as weak domestic demand and declining global prices weighed on sentiment. The decline followed a more than 3% jump in the previous session, driven by tighter supply conditions in China after a crackdown on VAT fraud reduced copper scrap availability and boosted demand for refined copper imports. However, gains faded as traders booked profits and concerns over slower demand growth returned. In India, copper futures on the MCX declined, with July contracts falling 0.15% and August contracts dropping 0.29% amid subdued demand from domestic consuming industries. Globally, LME copper slipped 0.37%, while Comex copper also moved lower as the market balanced tightening supply conditions against weaker demand signals.