Copper Slips After Two-Day Rebound

Copper futures fell toward $6.1 per pound on Monday, snapping a two-day rebound as expectations of tighter US Federal Reserve policy continued to weigh on the outlook for industrial metals demand. Fed Chair Kevin Warsh reiterated the central bank’s commitment to bringing inflation under control, reinforcing the hawkish tone of his debut earlier this month that prompted markets to scale back expectations for US rate cuts this year. Investors are now awaiting the latest US monthly jobs report later this week for fresh clues on labor market strength and the Fed’s policy path. Meanwhile, Goldman Sachs said the Iran conflict could ultimately support metals demand, citing increased reliance on electric vehicles, further investment in renewable energy, higher defense spending, and intensifying competition in the artificial intelligence race as key drivers of copper consumption.