Benchmark three-month copper on the London Metal Exchange (LME) fell 0.88% to $13,479.5 a metric ton on Friday, extending losses across the wider base metal complex.
The decline reflects deteriorating risk sentiment as the ongoing war in the Middle East continues to cloud the global demand outlook for industrial commodities.
By Tuesday, the metal had recovered slightly to $13,516 a metric ton, but concerns over weakening global demand ultimately outweighed potential supply chain disruptions stemming from escalating tensions.
The sell-off marks a continuation of pressure that has weighed on industrial metals throughout the week.
Earlier in the session, copper had already slipped 0.72% to $13,387 a metric ton on Monday, driven by renewed geopolitical tensions.
By Tuesday, the metal had recovered slightly to $13,516 a metric ton, but concerns over weakening global demand ultimately outweighed potential supply chain disruptions stemming from escalating tensions.
The market is grappling with a dual narrative: while supply chain risks from the Middle East conflict could theoretically support prices, the broader macroeconomic impact of the war is suppressing demand expectations.