05.11.202504:18:52UTC+00Copper Pressured by Risk-Off Mood

Copper futures dipped to approximately $4.9 per pound in early November, approaching their lowest point in a month due to a wave of risk aversion impacting global financial markets. Equities experienced a sell-off amid rising concerns about inflated valuations and ambiguity regarding the extent of further interest rate cuts by the Federal Reserve, which in turn dampened investor interest in commodities. Additionally, disappointing manufacturing data from China, the world's largest consumer of copper, further pressured market sentiment, casting a shadow over the demand prospects for industrial metals. Nonetheless, copper prices received some support from ongoing supply constraints, as major mining companies, including Glencore and Anglo American, reported decreased production levels over the first nine months of the year. Moreover, a tragic mudslide at a Freeport-McMoRan mine in Indonesia resulted in the suspension of operations, which account for over 3% of the global output, driving consumers to look for alternative supply sources.