2026.03.2303:32:28UTC+00Copper Pressured by Global Growth Concerns

Copper futures fell below $5.30 per pound on Monday, their lowest level in more than three months, as the protracted conflict in the Middle East heightened concerns about global inflation and economic growth, dampening demand for industrial metals. The war involving the US, Israel, and Iran entered its fourth week with no sign of de-escalation, and sharply higher oil prices threatened to slow economic activity and stoke inflation. This, in turn, prompted a more hawkish tone from major central banks.

Market participants scaled back expectations for additional Federal Reserve rate cuts this year, with some traders even pricing in the possibility of a rate hike toward the end of the year. The ECB, BOE, and BOJ likewise signaled that they are prepared to tighten policy further if inflationary pressures persist. At the same time, the decline in copper prices encouraged some opportunistic buying from Chinese fabricators, offering limited support to the market.