Copper futures slipped below $6.4 per pound on Friday, extending losses for a second consecutive session as high price levels weakened purchasing activity in China.
The market also came under additional pressure after stronger-than-expected US inflation data reinforced expectations that the Federal Reserve could raise interest rates again later this year, weighing on sentiment across industrial metals.
Even so, analysts still expect Chinese copper demand to remain relatively stable throughout 2026. Strong consumption from clean energy projects and technology-driven industries continues to help balance weaker demand from the property and construction sectors.
In the longer term, copper prices are still supported by optimism surrounding artificial intelligence infrastructure development, power grid upgrades, and the accelerating global energy transition.
Meanwhile, supply-side risks remain a key supportive factor for the market. China’s restrictions on sulfuric acid exports, together with disruptions to sulfur production in the Middle East, could tighten global supply conditions and strengthen the structural outlook for copper prices.
