Copper Steadies as Oil Prices Cool Amid Thin Stockpiles

Copper prices have steadied as oil prices cooled and visible stockpiles thinned ahead of Wednesday's Fed decision.

The metal is being pulled by two forces: macroeconomic conditions and on-the-ground availability.

Reuters reported that a tentative US-Iran pause helped send Brent crude lower, easing one inflation pressure point that can keep interest rates higher for longer.

The US dollar also dipped, which usually supports dollar-priced commodities because they become cheaper for buyers using other currencies.

However, the bigger story is supply in exchange warehouses. Reuters said copper has been shipped into the US in size ahead of potential tariffs on refined copper, drawing down inventories elsewhere.

In China, Shanghai Futures Exchange-monitored stocks fell 12.9% last week to 69,610 tons, their lowest since February 2024, while London Metal Exchange (LME) copper stocks are at their lowest since March.