06.02.202603:37:41UTC+00Copper Falls to Six-Week Low

Copper prices declined to approximately $5.77 per pound on Friday, reaching their lowest point in almost six weeks and poised for the steepest weekly drop since late November. This downturn is attributed to declining demand from Chinese buyers and an increase in inventory levels. Reports indicate that China, a major consumer, has reduced purchases by its manufacturers and fabricators as companies gradually scale back operations before the Chinese holidays. Additionally, stockpiles in London Metal Exchange (LME) warehouses across Asia are on the rise, further indicating a weakened demand. Analysts suggest this trend may accelerate, with traders redirecting shipments from Africa to China to capitalize on temporary price discrepancies between the Shanghai and London markets. Market sentiment was further dampened by the China Nonferrous Metals Industry Association's forecast that refined copper production is expected to grow by about 5% in 2026, which is half the growth rate experienced in 2025.