Live Updates > Live Update Details
2026-09-17 11:22:10
[Copper Prices Stabilize After Fed Rate Hike, Traders Downplay Hawkish Signals, Fundamentals Still Supported] (1) Copper prices stabilized after the Fed raised interest rates as widely expected by the market, with traders downplaying the hawkish signals released by the Fed Chairman. (2) Despite a stronger dollar, copper futures prices on the London Metal Exchange (LME) remained relatively stable. Fed officials expect another rate hike later this year, which could put pressure on non-yielding assets such as copper. (3) Copper prices had previously surged to record highs, driven by expectations that the US might impose tariffs on refined copper; currently, copper prices are consolidating at high levels. The tariff expectations have led to a large influx of copper into US inventories, raising concerns about potential supply shortages in other regions. (4) So far, the US has not introduced any new trade measures, which casts uncertainty on the previous rally. (5) However, demand expectations in the data center and renewable energy sectors, as well as supply disruptions at major mines, continue to support copper prices. (6) Sam Crittenden, an analyst at RBC Capital Markets, said in a report: "The news that the United States will not impose tariffs on copper has cooled some speculative trading in the physical market. Despite the short-term price weakness, the fundamentals remain positive."
