FX.co ★ Copper Jumps on Easing Trade Tensions

Copper futures rose to over $5.1 per pound on Monday, nearing three-month highs. This increase is driven by optimism surrounding the upcoming meeting between President Trump and President Xi, which might lead to a trade agreement following fruitful talks between US and Chinese trade representatives over the weekend. US Treasury Secretary Scott Bessent indicated that President Trump's proposed 100% tariff is not currently being considered, while Beijing has agreed to delay its planned enhancement of rare earth export restrictions for a year. Additionally, the metal's price has been bolstered by ongoing supply issues. Freeport-McMoRan has revised its sales forecast downward after a tragic incident at its Grasberg mine in Indonesia last month. Production setbacks at Codelco’s El Teniente mine in Chile and significant sites in the Dominican Republic and the Democratic Republic of Congo have further exacerbated supply concerns.