Market Outlook: Copper Drops Amid Dollar Surge and Concerns Over Trump's Tariff Threat

Copper prices fell due to concerns that the rising dollar and upcoming tariffs on Chinese products by the U.S. could harm metal consumption. Three-month copper on the London Metal Exchange (LME) declined by 0.2% to $9,000 per ton at 07:08 GMT, while the January copper contract on the Shanghai Futures Exchange (SHFE) also decreased by 0.2% to 73,800 yuan per ton ($10,187.04).

U.S. President-elect Donald Trump announced earlier this week that he would impose an additional 10% tariff on all Chinese goods after taking office in January. A broker noted that copper prices are likely to trade in a narrow range in the short term as people await more details on Trump's policies and how the Chinese government might respond.

On the LME, aluminum traded down 0.5% at $2,583 per ton, nickel rose 0.9% to $16,025 per ton, zinc fell 0.6% to $3,112.50 per ton, lead increased 0.3% to $2,063.50 per ton, and tin declined 0.3% to $27,860 per ton.