Copper slips amid China demand and Fed uncertainty

Copper futures fell below $4.13 per pound on Tuesday, marking a fifth straight day of losses amid ongoing uncertainty over demand from China, the top consumer, and concerns about a slower pace of easing by the US Federal Reserve next year.

Copper slips amid China demand and Fed uncertainty

Data earlier this week showed that retail sales growth in China was weaker than expected in November, indicating declining consumption. Additionally, new home prices dropped for the 17th consecutive month, highlighting continued struggles in the property sector. Beijing’s recent stimulus pledges have failed to spark significant investor interest, partly due to a lack of details on the potential size of rescue measures.

Fed set to cut rates, but fewer reductions expected for 2025

In the US, the Fed is widely anticipated to announce a 25 basis point interest rate cut this week but may signal fewer cuts than expected for 2025.