Copper futures declined to around $4.76 per pound on Friday, extending losses from the previous session as investors grew concerned over a potential destocking cycle in the US. Market sentiment has weakened on fears that once the specifics of President Donald Trump’s new tariffs are confirmed, US firms may sharply reduce imports after front-loading purchases earlier this year—driving global copper inventories down nearly 80% year-to-date.
Adding to the bearish tone, reports confirmed the discovery of one of the largest copper, gold, and silver deposits in the past 30 years in Argentina, with an estimated 13.2 million tons of copper and over 80 million ounces of combined gold and silver. Geopolitical tensions further weighed on sentiment, as the Israel-Iran conflict escalated and reports suggested the US may be preparing for a potential strike on Iran.
