Copper futures faced a significant reversal today, erasing recent gains as geopolitical tensions remain a primary market driver. With the Strait of Hormuz effectively closed, copper concentrate shipments face significant delays, tightening an already stressed market. Despite a strong structural demand case—driven by an estimated 475,000 metric tons needed for data center buildouts in 2026—rising energy costs and slowing industrial activity pose risks to the bull case. Iaccino breaks down the balance between supply shocks and deteriorating business confidence.
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