Copper gains on oil price drop as US, Iran pause strikes 

Copper prices firmed on Monday, as oil prices fell after the U.S. and Iran paused their nearly two-week-long fighting, easing concerns over inflationary risks to global economic growth. Benchmark three-month copper on the London Metal Exchange gained 0.32% at $13,688.5 a metric ton by 0700 GMT. The most-traded copper contract on the Shanghai Futures Exchange was up 0.31% at 105,050 yuan ($15,523.64) a ton. The U.S. said it was pausing its airstrikes on Iran after 13 consecutive nights of attacks, while Tehran said it would halt its attacks. Brent crude fell more than 6% on Monday after topping $100 a barrel for the first time since May last week on Friday. Expensive energy raises inflation risk and tends to generate bets on higher interest rates, which could weigh on growth-dependent commodities like copper by dampening economic activity. The market will be closely watching Wednesday's U.S. Federal Reserve meeting for its interest-rate decision. Interest-rate traders are pricing in a 63.7% chance there will be no rate change at the meeting, according to the CME's FedWatch tool. Non-yielding gold gained, and the dollar index edged lower. A cheaper dollar makes greenback-traded commodities like copper more affordable for buyers using other currencies. Copper has also been supported by waning stocks outside the U.S. The metal has been shipped into the country at scale ahead of potential tariffs on refined copper. In top consumer China, SHFE-monitored warehouse copper stocks fell 12.9% last week, to their lowest level since February 2024, at 69,610 tons. Overall LME copper stocks were at their lowest since March on Friday. Among other LME metals, aluminium was down 0.03%, zinc gained 0.6%, lead ticked 0.11% higher, nickel slipped 0.31% and tin gained 1.16%. Elsewhere on SHFE, aluminium slipped 0.11%, zinc added 0.46%, lead lost 0.79%, nickel ticked 0.09% higher and tin rose 2.17%.