Strong Dollar and Interest Rate Worries Drag Down Copper Prices

Copper prices fell on Tuesday due to a stronger US dollar and concerns about economic growth.

The benchmark three-month copper contract on the London Metal Exchange (LME) dropped 0.41% to $14,214 per metric ton by 0301 GMT.

This decline comes despite fresh fears about supply shortages driven by stock withdrawal requests on the LME, which had previously stoked concerns of a potential shortage.

The stronger dollar can make commodities more expensive for buyers using other currencies, while higher interest rates can weigh on growth-dependent industrial materials like copper.