Metal markets collapse on global growth fears – ING

Metal markets collapsed on Friday as Trump’s escalating trade war continues to fuel concerns about global growth and the demand outlook for raw materials, ING’s commodity experts Ewa Manthey and Warren Patterson note.

Metal markets collapse

“China’s retaliation on Friday with its own 34% tariffs on all imports from the US intensified the sell-off. Copper prices tumbled more than 6% on the LME, the biggest drop in five years, while prices on COMEX dropped more than 8%. Nickel prices plunged 6%, to the lowest level since 2020.”

“A global trade war is bearish for industrial metals in the context of slowing global growth. China is the biggest consumer of industrial metals, so a trade war with the US is of particular interest for metals markets.”