Copper Pulls Back From Record High

Copper futures fell below $6.70 per pound on Thursday, retreating from record levels as the dollar strengthened on robust US economic data that reinforced expectations for further Federal Reserve rate hikes. A stronger dollar makes greenback-priced commodities such as copper more expensive for overseas buyers. Still, the metal remains supported by persistent supply risks, with BHP Group announcing that mining operations had been suspended at the giant Escondida mine in Chile following the death of a worker. Metals trader Sprott Asset Management also said global mined copper production could decline this year for the first time since 2017, while disruptions at major mines in Indonesia and the Democratic Republic of Congo have reduced expected annual output by an estimated 600,000 tons. On the demand side, consumption remains robust across power grids, AI data centers and the defense sector, while the recent rally in technology and AI stocks has further strengthened the demand outlook.