12.05.202514:20:08UTC+00US Copper Eases to $4.6

Copper futures in the U.S. have recently hovered around $4.6 per tonne, maintaining their previous week's declines and lagging behind other base metals. A significant factor contributing to this situation is the ample supply, which has overshadowed positive demand expectations resulting from the easing of global trade tensions. The recent agreement between the U.S. and China to pause their respective tariffs for 90 days has alleviated some worries about the trade war's impact on global manufacturing. However, the robust ore production from South America has highlighted the ongoing oversupply issue. The International Copper Study Group has notably doubled its forecast for this year's surplus to nearly 300,000 tonnes. Consequently, these growing surplus concerns have prompted foreign traders to close long positions on U.S. copper futures. Many positions were initially opened following President Trump's announcement of an investigation into the imposition of tariffs on copper imports. Simultaneously, there has been a notable rise in U.S. copper inventories as metal has flowed back into the country, allowing factories to shield themselves from potential tariff risks. This influx has reduced the gap between U.S. and London copper futures.