Copper futures gapped higher despite slower Q2 GDP growth.

Copper futures mounted a solid bounce, finding support from steady borrowing costs after the Federal Reserve held rates unchanged. The non-unanimous decision saw three policymakers favor a hike amid ongoing geopolitical tensions that could keep energy prices and inflation elevated. While stable rates aid the construction and manufacturing sectors, slower second-quarter growth presents a potential headwind for copper demand. Real GDP grew at an annualized rate of 1.5%, which was below expectations. However, underlying strength in consumer spending and business investment continues to offer a constructive medium-term outlook for industrial metals.