Copper futures held above $5.90 per pound on Wednesday, maintaining recent gains despite expectations of weaker near-term demand as economic activity in China, the world’s top consumer, slows ahead of the Lunar New Year holidays. Support came from ongoing supply disruptions and robust global demand, driven by the energy transition and continued expansion of AI-driven data centers. The China Nonferrous Metals Industry Association projects refined copper output to rise about 5% in 2026, roughly half the growth seen in 2025. Meanwhile, Goldman Sachs estimates the copper market faced a surplus of 600,000 tons last year, though prices still reached record highs earlier in 2026. On the macroeconomic front, copper benefited from a softer dollar after disappointing US economic data reinforced expectations for Federal Reserve interest rate cuts.
