Copper falls, set for worst week since March on AI rout
XLB•Copper fell 0.61% to $13,759 a metric ton on Friday and was on track for a 2.79% weekly decline, its biggest since March. Concerns over AI investment weighed on markets, while supply constraints and a record-high Chinese import premium provided support.
1. Prices fall on AI worries
Benchmark three-month copper on the London Metal Exchange fell 0.61% to $13,759 a metric ton by 0300 GMT, putting it on track for a 2.79% weekly drop. The most-traded Shanghai Futures Exchange copper contract fell 0.93% to 107,000 yuan a ton.
2. Supply constraints offer support
Copper has increasingly been influenced by sentiment toward data centre expansion, CRU principal analyst Craig Lang said. Supply constraints cushioned the decline, including tight metal availability outside the United States and challenges facing mines. The Yangshan copper premium rose to $210 a ton on Thursday, its joint highest since tracking began in 2012, while inventories outside the United States have fallen as metal was moved there ahead of a potential tariff on refined copper imports.
