Worries about global economic growth intensify as LME copper prices fall to a three-month low.

Due to the weakening risk appetite in the financial markets caused by the Middle East war and concerns about global inflation and growth, copper prices fell to the lowest level in over three months. LME copper prices fell by 1.8% at one point, following a 6.7% drop the previous week, marking the largest decline since April 2025. The war, which has been ongoing for four weeks, has driven up oil and natural gas prices, threatening global economic activity and exacerbating inflation, which may prompt major central banks to adopt a more hawkish interest rate stance. Yan Yuhao, senior analyst at Zhejiang Hailiang Co., a major Chinese copper tube and rod producer, stated, "Copper prices have not yet hit bottom," as the market has already factored in the prospects of economic recession and inflation. Meanwhile, according to Yan, the copper price on the Shanghai Futures Exchange falling below 100,000 yuan ($14,485) per ton has prompted Chinese processors to purchase large quantities of copper, with orders extending into next month. He added that the resilience of Chinese demand will support domestic copper prices outperforming LME copper prices. As of the time of writing, LME copper prices have fallen by 0.7% to $11,840 per ton. Most other base metal prices have also dropped, with aluminum prices falling by 0.4% to $3,201.50 per ton. Copper prices on the Shanghai Futures Exchange (SHFE) have fallen by 2% to 92,930 yuan per ton.