The disappearance of the US price difference and customs duty speculations affected the copper market
AI-generated summary
Industrial metals and technical stocks lost value after Democrats took control of Congress. Inflation concerns and customs duty speculations affected copper prices.
Since Democrats took control of Congress, industrial metals have joined the general risk-off trend, with tech stocks losing ground on concerns about tighter regulations on artificial intelligence. Copper, used in cables and wires of data centers and power equipment, fell by up to 0.8 percent today, following a 1.2 percent drop on Thursday.
The heavy defeat of the Republicans in Congress, also influenced by inflation concerns, triggered new speculations about the possibility of expanding the US customs duties on copper imports. The prospect of tariffs had kept U.S. prices high and forced large volumes of copper into American stockpiles, shrinking the global market. On Thursday, this price difference disappeared.
“Many market participants believe aggressive copper tariffs are now less likely as the Democratic Party maintains a majority in the US Congress, as the cost of living emerges as the ruling party's weakest point as we head towards 2028,” TD Securities said in a note.
AI outlook — possibilities, not facts
Aggressive copper tariffs will be less likely to be imposed
Likely · Within months

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