Copper Prices Hover Near Four-Month Low Amid Supply and Demand Concerns

On Tuesday, copper prices continued to trade close to the four-month low of USD 8,826.98 per tonne recorded earlier this week. The industrial metal has reached a low of USD 8,916.75 per tonne so far today.

Copper experienced significant losses last month due to concerns over a potential slowdown in Chinese demand. The upcoming purchasing managers' indices for July, scheduled to be released on Wednesday, are expected to provide new insights into the state of the Chinese economy.

In addition to demand worries, the prospect of increased supply is also putting downward pressure on prices. The BHP Group and Canada’s Lundin Mining have announced a joint acquisition deal worth four billion US dollars to take over Filo Mining, a company focused on South American projects. This move aims to expand South American copper projects and boost copper production.