FX.co ★ Copper Tumbles as Trade War Fears Resurface

Copper futures dipped below $5 per pound on Tuesday, relinquishing the gains made in the previous session as renewed concerns about an enduring US-China trade dispute unsettled global markets. China responded to Washington's probes into its maritime, logistics, and shipbuilding sectors by imposing restrictions on five US divisions of Hanwha Ocean. Additionally, tensions were exacerbated when both countries began to levy extra port fees on ocean shipping companies, though Beijing offered exemptions for vessels built domestically. Despite these developments, US Treasury Secretary Bessent stated on Monday that President Trump is still expected to meet Chinese President Xi in South Korea later this month. Concurrently, apprehensions about supply remain due to ongoing mining disruptions in Chile and Indonesia. In Chile, Codelco reported its lowest monthly production in over two decades in August, and Indonesia's Grasberg mine continues to face limitations following a fatal accident last month.