Copper Tumbles to Six-Week Lows Amid Hawkish Fed Bets and Pipeline Shutdown

Copper futures took another hit on Monday, plummeting to around $6.4 per pound as investors' expectations for a US Federal Reserve rate hike intensified.

The losses mark a six-week low for copper prices, which had already dropped nearly 5% last Thursday after reports that the Trump administration was delaying tariffs on refined copper imports.

Market participants are now pricing in an 86% probability of a 25-basis-point rate increase by the Fed this Wednesday, further pressuring risk-sensitive assets like copper.

Additionally, oil prices surged as Saudi Arabia shut down the East-West pipeline, exacerbating concerns over inflation and driving up energy costs.