Copper futures hovered above $4.86 per pound on Tuesday, holding onto gains from the previous session as investor sentiment improved following US President Donald Trump’s announcement of a ceasefire agreement between Israel and Iran.
The news lifted risk appetite across markets, while concerns eased over a broader geopolitical escalation after Iran’s retaliatory strike on a US base in Qatar caused no casualties and avoided disrupting the vital Strait of Hormuz. However, copper prices remained capped by growing concerns over a potential destocking cycle in the US. Analysts warned that once the specifics of Trump’s new tariffs on copper imports are finalized, US buyers—many of whom front-loaded purchases earlier this year—may significantly scale back orders, clouding the near-term demand outlook.
