Copper Prices Slip Amid Rising Stockpiles and Holiday Trading

Copper futures declined on Tuesday, February 17, 2026, as rising inventories and thin trading volumes related to the Lunar New Year holidays weighed on sentiment. Benchmark copper prices on the London Metal Exchange (LME) fell as much as 2.1% to dip below $12,600 a ton, according to Bloomberg. Global stockpiles tracked by the LME have been steadily increasing, reaching their highest level since March.

Inventory Surge Fuels Price Decline

Readily available copper inventories across exchanges in Shanghai, London, and New York now exceed one million tonnes, a level not seen in more than two decades Business Today. This surge in stockpiles is adding downward pressure on prices, particularly as demand in China, the world’s largest consumer of metals, has cooled due to near-record prices. The increase in inventories follows substantial shipments to the US in anticipation of potential tariffs.

Lunar New Year and US Holiday Impact Trading

The decline in copper prices is also attributed to the Lunar New Year holidays in China and other Asian markets, resulting in reduced trading activity. The US markets were also closed on Monday for the Presidents’ Day holiday, further contributing to the thin trading volumes. Yahoo Finance reports that the lack of participation from key Asian traders has created a subdued market environment.

Broader Metals Market Trends

The LMEX Index, which tracks the six main base metals traded in London, reached a record high last month driven by Chinese buying and a weaker US dollar. However, the index has since retreated as traders await further catalysts, including updates on US import tariffs and signals from the US Federal Reserve regarding monetary policy. Business Today.

Other metals also experienced price declines. Aluminum fell by up to 0.6% as investors awaited clarity on US tariff plans. Nickel fell 1.4% and lead was also down. Yahoo Finance

BHP Group Reports Strong Earnings Despite Market Headwinds

Despite the broader market weakness, BHP Group, the world’s largest miner, reported a more than 20% jump in first-half earnings. This positive performance was driven by increased copper production, which now accounts for over half of the company’s profits, offsetting weaker results in its iron ore and coal businesses. Business Today. Antofagasta Plc also reported record core earnings, but its shares declined due to falling copper and gold prices.

Looking Ahead

Copper futures were 1.5% lower at $12,657 a ton by 4:38 p.m. In London. Trading on Chinese exchanges is expected to resume next week, potentially bringing increased volatility and a clearer indication of market direction. Traders will be closely watching for developments regarding US tariffs and Federal Reserve policy, as these factors are likely to significantly influence future price movements.