Copper extends weekly losses as tech selloff dampens demand outlook

Copper prices remained under pressure this week, extending losses for a third week in the past month, as a sharp selloff in global technology stocks dampened investor sentiment and raised fresh concerns about future demand linked to Artificial Intelligence (AI), Access Bank says.

In its latest market commentary, the bank said London Metal Exchange (LME) copper futures fell by more than two per cent during the week to trade at around US$14,078 per tonne, retreating further from the record highs reached in September.

“The decline comes amid weakening global risk appetite, with investors questioning the sustainability of heavy investment in AI infrastructure, a key driver of recent demand expectations for industrial metals,” it stated.

Despite the latest pullback, copper prices remain about 14 per cent higher since the start of the year, supported in part by increased shipments to the United States amid speculation that the Trump administration could introduce tariffs on refined copper imports.

In foreign exchange markets, the Japanese yen outperformed its major peers, strengthening to its highest level in more than a month as investors sought safe-haven assets following the technology-led equity selloff.

The US dollar also weakened, with the Dollar Index slipping to 101.52.

On the domestic market, the Zambian Kwacha continued its weakening trend against the US dollar.

According to Bloomberg data cited by Access Bank, the local currency depreciated by about 0.12 per cent to close just above K20.20 per US dollar as tight liquidity conditions persisted.

The bank said that, barring any unexpected market developments, the Kwacha was on course to record its fourth consecutive week of losses against the greenback.

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