LME copper retreated from over three-month highs on Monday, while the benchmark cash-to-three-month spread – having moved into backwardation for the first time since June 2023 on Friday – has now eased back to contango.
US President Donald Trump has set a 25% tariff on steel and Aluminum imports. The tariffs will apply to all US imports of steel and Aluminum, including from the country's biggest suppliers of both metals, Canada and Mexico. The duties will also include finished metal products.
CTAs are being whipsawed in Copper and Aluminum following President Trump's dampened tone with respect to tariffs on China, TDS’ Senior Commodity Strategist Daniel Ghali notes.