The US dollar weakening and strong demand from China helped push LME copper prices close to the 10,000 yuan mark.

Notice that the London Metal Exchange (LME) copper price is approaching the $10,000 per metric ton mark on Monday, as the US dollar weakens and end-demand remains resilient, driving copper prices to continue their four-week uptrend. LME copper prices rose by 0.3% to a high of $9,928 per metric ton during the day, with the August contract up 3% overall. New York Mercantile Exchange (COMEX) copper futures held steady, with the main contract at $4.598 per pound (equivalent to $10,137 per metric ton). Driving factors The US dollar weakened in response, as the market expects the Federal Reserve to cut interest rates at the next meeting, making US-dollar denominated bulk commodities cheaper for overseas buyers. Chinese demand also remains resilient, but there has been a slight cooling on the margin. According to data from Zijin Mining Group, refined copper apparent consumption in China increased by about 10% year-on-year in the first half of 2025. However, Goldman Sachs analysts cautioned that despite expectations of US interest rate cuts and supportive policies, market tightening and continued weak economic data may put pressure on the industry. The bank reiterated its year-end forecast for LME copper prices at $9,700 per metric ton last week, and maintained a bearish outlook on aluminum.