Copper Falls to Four-Month Low

Copper decreased to 6.18 USD/Lbs, the lowest since July 2026. Over the past 4 weeks, Copper lost 6.2%, and in the last 12 months, it increased 24.81%.

Copper fell below $6.20 per pound, the lowest since early July, as concerns over tighter regulation and opposition to AI data center projects raised doubts about future demand for the metal. Technology stocks plunged, with an ETF tracking US-listed semiconductor companies losing more than 12%, after Democrats secured control of both chambers of Congress in the midterm elections. The political shift could increase scrutiny of data center development, potentially delaying or blocking infrastructure projects that had been expected to drive significant copper consumption. Democratic gubernatorial victories in several states, including Texas, could expose around half of proposed US AI data center additions to greater regulatory challenges. Texas Governor-elect Gina Hinojosa has repeatedly called for an immediate moratorium on new data center projects. Copper reached a record high of $6.8 on September 10, partly on AI-related demand.

Copper futures steadied around $6.40 per pound on Thursday, supported by strong physical demand from China, the world's largest copper consumer, as buyers compete for limited supplies and spot premiums continue to climb. Industry data showed that Shanghai's spot copper premium surged to 1,900 yuan per ton above futures prices on Wednesday, marking its highest level since 2021. The increase reflects production cuts by Chinese smelters, as rising ore costs and declining byproduct prices threaten to generate significant losses, alongside restricted imports from overseas suppliers, particularly Africa and Russia. Nevertheless, copper remains lower for the week amid a broader selloff in artificial intelligence-related stocks and concerns that Democratic control of the US Congress could affect future data-center investments. As a key material in the global AI expansion, copper is widely used in data centers, power grids and electrical infrastructure.