Copper steadies as dollar strength counters Chile supply worries

Business Recorder reported that copper prices barely moved on Tuesday, as a robust US dollar cancelled out supply anxieties in Chile, the world's leading producer. On the London Metal Exchange, the benchmark three-month contract eased 0.2% to $14,590.50 per metric ton as of 0126 GMT, having reached a two-week peak the day before. On the Shanghai bourse, the most-traded contract held flat at 110,720 yuan per ton.

The greenback hovered close to an 18-month high, supported by safe-haven buying linked to rising Middle East tensions. A stronger dollar makes metals priced in greenbacks dearer for buyers holding other currencies. Attention also centred on Chile, where state miner Codelco partly halted work at El Teniente after a landslide, while Antofagasta's Centinela mine and two unions planned to resume talks during an ongoing strike.

Copper stocks outside the US have dropped recently as cargoes were redirected there before possible levies on refined copper imports. BMI lifted its 2026 average copper price forecast to $13,500 a ton from $12,700, pointing to tariff-related distortions and ongoing supply limits. Among LME metals, aluminium fell 0.4% to $3,039, having hit an eight-month trough on Monday, zinc shed 0.6% to $3,735 and nickel slipped 0.2% to $15,585.