Copper falls 1% to $14,347 a ton, third straight day of losses
The metal remains up more than 15% this year, though easing strike risk at Chile's Escondida mine and weak mining stocks have cooled bullish bets
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Copper fell 1% to $14,347 a ton, a third consecutive daily decline. The metal is still up more than 15% in 2026.
Strong US inflation data, a firmer dollar and rising expectations of a Federal Reserve rate increase weighed on the market. Traders now price near 90% odds of a December rate rise. Fed governor Goolsbee called the latest consumer price report "discouraging" and warned of overheating risk tied to AI-related spending. The Fed's Beige Book found price growth robust in three districts and intensifying in three more, and Richmond Fed president Barkin said inflation is running higher than hoped, declining to prejudge the outcome of the October meeting.
Concerns over AI spending added further pressure. CoreWeave's five-year credit default swaps surged to a record 1,194.5 basis points and its 2031 bonds fell to 82.75 cents on the dollar.
Easing fears of a strike at Chile's Escondida mine also removed one of the supply-side supports that had kept copper near its highs for the year, and weak mining stocks added to the cautious tone. Chile's state miner Codelco has called a shareholder meeting for November 5 to address inconsistencies in 2024-2025 production figures that may have inflated output reported by its Ministro Hales and Salvador divisions, leaving a question mark over the country's supply data.