Copper, aluminium fall as Trump extends deadline for attacks on Iranian energy

LONDON: Copper and aluminium prices fell on Friday as US President Donald Trump extended a deadline for striking Iran’s energy plants, even though markets appeared sceptical about the chances of a deal being agreed by the two sides.

Benchmark three-month copper on the London Metal Exchange was down 0.3percent at USD12,115 a metric ton in official open-outcry trading. Copper, widely used in power and construction, has lost 9percent since the US-Israeli war on Iran began on February 28, threatening global economic growth and fanning inflation.

“Prices lack fundamental support and are expected to remain volatile, dominated by macro news and investor flows,” Macquarie analysts said in a research note.

“An end to the Iran war will likely see prices recover in the short term, but with over 1 million tons of visible stocks built since the start of 2025 and ongoing surpluses forecast, there is a high risk of a downward price correction.”

Sentiment for copper and other growth-dependent metals was supported on Friday by data showing that China’s industrial profits grew 15.2percent in the first two months of 2026.

Copper inventories in warehouses monitored by the Shanghai Futures Exchange fell 12.6percent this week to 359,135 tons while the Yangshan copper premium, a gauge of China’s appetite for imported copper, closed the week at USD68 a ton after hitting a nine-month high of USD69 during the week.

Meanwhile, LME aluminium lost 0.9percent to USD3,240 a ton in official activity, having hit USD3,299 in the previous session for its highest since March 20.

Worries about exports from Gulf region producers, accounting for 9percent of global supply, caused concerns over near-term availability of the metal, driving the premium on the cash LME aluminium contract against the three-month forward to USD59 a ton, its highest since 2007.

Among other LME metals, zinc was steady at USD3,082 a ton, lead lost 0.2percent to USD1,887 while tin gained

0.9percent to USD44,500 and nickel was down 0.4percent at USD17,190.