June 19, 2025 – The LME copper price today declined due to a stronger US dollar and increased geopolitical tensions, most notably the Israel-Iran war which weighed on the sentiment of investors. After two days of modest gains, copper prices on the London Metal Exchange (LME) fell, thus mirroring the cautious attitude of the global commodities market.
London Copper Price Dips on Dollar Strength
The benchmark LME copper contract for three months delivery was 0.6% lower at $8,235 per tonne during the Asian session. An appreciating US dollar currency makes metals that are denominated in dollars more expensive for buyers who use other currencies; this leads to less demand and hence a drop in prices.
According to analysts, the greenback strengthens because of the US Federal Reserve’s confident tone in the interest rate policy. The Fed has recently indicated that it may keep rates at a higher level for longer than what was anticipated in order to defeat inflation that is persistent and has therefore added fuel to the dollar’s upwards movement.
“Copper really reacts to the dollar and interest rates. With the dollar being strong and global uncertainty, investors are still going to be cautious,” one analyst from a global commodities research firm said.
Israel-Iran Conflict Keeps Markets on Edge
The situation in Israel-Iran is indeed the major headache of the markets. The conflict so far has neither blocked the main trade routes nor has the copper production been affected, however, the risk aversion among investors has increased. Generally, tensions in the Middle East may result in further market volatility, therefore, equities and commodities thereafter will get affected.
Copper, often referred to as a barometer for the global economy, is a commodity that usually experiences a negative reaction to geopolitical instability. The traders have their eyes on the situation very closely to detect if there is any development that could lead to the disruption of the global supply chains or the loss of investor confidence. A negative impact on any of these will result in a drop in copper prices.
MCX Copper Price Today Mirrors Global Trends
The copper futures contract on the MCX in India also moved lower, following the downturn in the world market. The MCX copper price today for the June contract was quoted at ₹728.60 per kg, down 0.45% in the morning session.
The local traders have mentioned that they have been influenced by the weak global market and the profit booking as the main reasons for the drop. Also, the strengthening of the dollar and a decreasing probability of a quick solution to the Israel-Iran conflict are factors that are restraining the domestic markets from getting better.
Outlook: Pressure Likely to Persist
Market experts suggest that copper prices may remain under pressure in the near term. While physical demand from top consumer China is slowly picking up, macroeconomic factors such as the dollar’s strength and geopolitical concerns are likely to dominate price action.
On the technical front, support for LME copper is seen around $8,200, while resistance is near $8,300. For MCX copper, support lies at ₹725, with resistance around ₹735.
“Unless we see a pullback in the dollar or signs of easing tensions in the Middle East, copper may struggle to regain strong upward momentum,” noted a senior trader at a Mumbai-based brokerage.
Conclusion
To sum up, the LME copper price today is down due to a strong dollar and escalating geopolitical tensions, especially the Israel-Iran war. The MCX copper price has also followed suit, reflecting global headwinds. Investors are advised to stay cautious as markets react to unfolding global events.