Copper futures dropped about 2% to $5.9 per pound on Tuesday, ending a three-day rally as rising inventories in China signaled weakening demand in the world’s largest metals consumer. Data showed copper stockpiles in Shanghai Futures Exchange warehouses climbed last week to a record seasonal high. Meanwhile, COMEX copper inventories surpassed 500,000 tons for the first time last week, and London Metals Exchange stockpiles reached their highest level since May 2025, pushing total global holdings above 900,000 tons. Despite these pressures, copper continues to benefit from a weaker dollar amid geopolitical, trade, and monetary policy uncertainties. The metal also draws support from growing interest from retail investors and industrial applications, fueled by the global shift toward renewable energy and artificial intelligence.
