Copper futures climbed back above $5 per pound on Wednesday,recouping losses from the previous session as dovish remarks from Fed Chair Powell reinforced expectations for more US rate cuts, improving the global demand outlook. In top consumer China, fresh data pointed to persistent deflationary pressures, fueling hopes for additional stimulus. Premier Li Qiang reiterated calls to boost domestic consumption and curb unfair competition among firms. On the trade front, sentiment stayed cautious after President Trump threatened Beijing with a cooking oil embargo in retaliation for China’s soybean boycott, though he is expected to meet President Xi Jinping in South Korea later this month to ease tensions. Meanwhile, supply concerns persisted as output disruptions in Chile and Indonesia tightened global production, with Codelco reporting its weakest monthly output in over two decades and Grasberg mine operations still limited after last month’s fatal accident.
