Copper futures jumped nearly 2% toward $5.9 per pound on Tuesday, reversing losses from the previous session as traders in mainland China returned from the extended Lunar New Year holiday.

Optimism over potentially lower US tariffs supported the rally after the US Supreme Court struck down President Donald Trump’s reciprocal tariffs.

Even with Trump threatening to raise global tariffs from 10% to 15% in response to the ruling, China is still expected to face lower average levies on its metal-intensive exports.

However, higher physical prices have raised concerns that top consumer China could curb purchases, pushing exchange-tracked inventories to their highest levels since 2024.

Stockpiles in both London and New York have also been on the rise.
Source: Trading Economics