Copper Retreats from Record High as Dollar Stabilizes Market

Copper prices on the London Metal Exchange (LME) retreated slightly after setting a record high, as a stabilizing US dollar weakened some of the momentum that had propelled the metal's rally.

Despite the pullback, low inventories, tightening spot supply, and insufficient new mine development continue to provide support for copper prices, keeping the market broadly optimistic on copper's medium-to-long-term outlook.

The LME copper price fell as low as $14,149 per tonne, a day after posting its highest-ever closing price, before settling at $14,273 per tonne.

Attention is now turning to Federal Reserve Chair Kevin Warsh's speech at the Jackson Hole Economic Symposium on Friday, where investors will be looking for clues on how the Fed plans to address inflation and whether monetary policy could be adjusted further.