Copper Prices Plummet Amid US Tariff Uncertainty

Copper prices have dropped significantly due to uncertainty over U.S. tariffs, which added to selling pressure on Thursday.

The XCU has been affected by this uncertainty and has weakened along with other commodities like uranium and lithium ahead of the U.S. inflation report.

A strong inflation reading could increase expectations for a Fed rate hike, leading to higher borrowing costs that may slow construction and manufacturing, weighing on copper and lithium demand.

Copper risks a drop towards $6 if its current support level at $6.50 fails.