06.07.202604:03:01UTC+00Copper Holds Steady as Fed Hike Bets Recede

Copper futures traded above $6.15 per pound on Monday, moving within a tight range for a second consecutive week as investors pared back expectations for further Federal Reserve interest rate hikes. Weaker-than-forecast US employment data released last week dampened the perceived urgency for additional monetary tightening, while softer oil prices helped ease inflationary pressures. Industrial metals typically benefit from lower interest rates, which support economic activity and underpin overall demand. Sentiment toward copper was further bolstered by reports that some Chinese funds have been rotating into metal stocks and futures ahead of anticipated strong first-half earnings from producers. Several Chinese mining companies are due to publish preliminary results in the coming weeks, and this year’s broad-based rally in commodities—from gold to copper—is expected to lift profits compared with a year earlier.