Copper Nears $10,000/Ton as Softer Dollar and China Demand Lift Prices

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Copper nudged closer to the psychologically important $10,000 per ton mark after posting solid monthly gains, underpinned by a softer U.S. dollar and surprisingly resilient demand from China.

The metal advanced about 3% in August, and on Monday the London Metal Exchange (LME) price rose as much as 0.5%, trading near $9,927.50/ton. A weaker greenback typically helps dollar-priced commodities by lowering costs for overseas buyers, giving markets a lift as non-U.S. consumers step in.

China — the world’s largest copper consumer — has been a key support this year. Apparent consumption climbed roughly 10% in the first half, according to mining-sector data, helping sustain flows even as some market watchers warned of cooling activity later in the year. That demand backdrop, combined with continued physical shipments into the United States, has kept the market tight relative to some earlier forecasts.

U.S. futures are still trading at a premium to LME benchmarks, and inward flows to American warehouses remain a notable feature of the market. Political and policy moves have also swirled around prices: investor expectations of a Federal Reserve rate cut have weakened the Bloomberg Dollar Index, while uncertainty tied to trade and tariff decisions has added episodic volatility. Recent legal rulings around tariffs and high-level personnel changes in U.S. economic policy have kept traders on alert, helping push the dollar lower and commodities higher.

Still, the second half of the year brings cautionary signs. Several analysts point to weakening activity indicators in China, and some forecasts expect consumption growth for copper and other base metals to moderate in coming months. If Chinese industrial demand cools or if the dollar rebounds, the near-term momentum could fade.

Other industrial metals moved with the market: zinc and nickel recorded gains, while aluminum was largely unchanged in early London trading.

What to watch next

• China demand indicators (construction, manufacturing and apparent consumption) for signs the rally can continue.
• Dollar direction and Fed policy signals — a firmer greenback would likely pressure prices.
• Physical flows and regional premiums, especially the U.S. futures premium versus LME benchmarks, which influence arbitrage and inventory movement.

Bottom line

Copper’s recent run highlights the metal’s sensitivity to macro cues and physical demand. Near-term strength is real, but persisting gains will depend on whether China’s consumption remains robust and whether the dollar stays subdued.

Bloomberg — market report: “Copper Rises to Near $10,000 a Ton After Four Weeks of Gains”

• Anchor text: Bloomberg: Copper nears $10,000 after four weeks of gains
• Placement: Use in the lead paragraph that describes the near-$10,000 move and the August gains.