LONDON: Copper prices gained on Thursday, lifted by market optimism after a federal court halted President Donald Trump’s move to impose sweeping tariffs on imports from most of the United States’ trading partners.
The Court of International Trade blocked most of Trump’s tariffs in a broad ruling on Wednesday that found the president had overstepped his authority by imposing across-the-board duties on imports.
The Trump administration minutes later filed a notice of appeal and questioned the authority of the court.
ING commodities analyst Ewa Manthey said most base metals gained because the court ruling boosted risk appetite, though markets were likely to remain volatile as the administration fights the decision. Three-month copper on the London Metal Exchange was up 0.4% to $9,602 per metric ton in official open-outcry trading. LME copper has rebounded nearly 19% since touching a 17-month low of $8,105 in April after Trump imposed his so-called reciprocal tariffs.
Among other metals, LME aluminium steadied at $2,467 a ton, zinc rose 0.7% to $2,706.5, lead fell 0.3% to $1,977.5 and nickel gained 1.9% to $15,295. Tin was down 0.1% to $31,615.
Gains were capped by a firmer US dollar, which rose against major currencies, making dollar-priced metals more expensive for holders of other currencies. Discussing the outlook for copper, Manthey noted that downside risks include prolonged trade negotiations and reduced policy stimulus from China. On the upside, prices could benefit from possible cuts in refined copper production amid ongoing tightness in concentrates, he said.