RESEARCH
Copper under pressure as weak data, rising supply hit sentiment
This story was originally published at 12:02 IST on 6 February 2026
Register to read our real-time news.Informist, Friday, Feb. 6, 2026
MUMBAI – Expectations of weak economic data from major economies have weighed on base metals, putting copper prices under pressure amid a strong dollar and subdued global risk sentiment, ICICI Direct said in its daily commodities outlook. Copper rates have also fallen due to rising supply signals from China. Rising inventories across key trading hubs in Shanghai, London and New York also signalled softer near-term demand, it said.
Corroborating the bearish look for the metal, Kotak Securities said market pressure intensified as supplies initially bound for the US were redirected to other destinations, adding to visible stocks. In China, demand eased as fabricators and manufacturers reduced purchases ahead of the Lunar New Year holidays, while earlier dip-buying interest faded. Import indicators also weakened, with the Yangshan copper premium, a gauge of Chinese appetite for imported metal, declining to about $37 a tonne from above $40 at the start of January, it said.
Expectations of unsatisfactory economic data from major economies further weighed on sentiment. On the supply side, industry forecasts pointed to a further increase in China's refined copper output this year following strong growth the previous year.
Despite the near-term weakness, underlying demand trends were seen as constructive, supported by continued investment in China's power grid infrastructure, which could provide a medium-term tailwind to copper consumption, Kotak Securities said. Investors are now awaiting greater clarity on investment allocations to better assess the outlook for physical demand. End
US$1 = INR 90.42
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Reported by Udita S. Jaiswal
Edited by Avishek Dutta
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.
Informist Media Tel +91 (22) 6985-4000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2026. All rights reserved.
To read more please subscribe
Share this Story:
