NewsFlash / Copper / US Data Disappoints Boosting Copper, But Upside Hindered by Supply Tightness
US Data Disappoints Boosting Copper, But Upside Hindered by Supply Tightness
iconJun 5, 2025 08:47
Source:SMM
[US Data Underperformance Supports Copper Prices, but Upside Still Faces Resistance]: On the macro side, the ADP National Employment Report released on Wednesday showed that only 37,000 private-sector jobs were added in the US in May, far below expectations. Following the data release, Trump once again called on Fed Chairman Powell to lower interest rates. The US dollar index fell, returning to a six-week low, which was bullish for copper prices. On the fundamental side, supply side, there is a severe shortage of mainstream high-quality copper supply. Due to the tight supply, suppliers have extremely low willingness to sell at low prices. Looking ahead today, with the guidance of the convergence of the price spread between futures contracts, it is expected that there is still downside room for the premium, and attention should be paid to whether it will break through parity. In terms of prices, with ongoing tariff concerns, it is expected that there will be limited upside for copper prices today.

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