Copper Drops on US Hormuz Blockade

Copper futures fell more than 1% to below $5.8 per pound on Monday, trimming last week’s gains after President Donald Trump announced plans to blockade the Strait of Hormuz following the failure of US-Iran negotiations over the weekend, adding fresh uncertainty to metals markets. Talks in Pakistan ended without a deal as the US accused Iran of refusing to abandon its nuclear ambitions, while Tehran reportedly demanded control of the Strait of Hormuz, war reparations, a regional ceasefire, and access to frozen overseas assets. The prolonged Middle East conflict, which has driven energy prices sharply higher, weighed on the outlook for global growth and industrial activity. Copper was also pressured by rising inventories, with stockpiles in LME warehouses climbing to an eight-year high, signaling weaker demand conditions.