On June 5, Global X Copper Miners ETF (COPX) fell 5.22% in regular trading, trading at $83.87/share, with trading volume of approximately $170 million.
On the news front, stronger-than-expected US economic data fueled renewed rate hike expectations, triggering broad-based selling across the non-ferrous metals complex. Specifically, the US May ISM Services PMI rose to a three-month high of 54.5, exceeding consensus, while the prices paid sub-index surged to 71.3 — a multi-year peak. Additionally, private payrolls data came in above expectations, reinforcing the hawkish macro narrative. Rising US Treasury yields weighed heavily on commodity-linked equities.
The pullback comes just two days after copper futures hit a record high of $6.6495 per pound on June 3, creating significant short-term profit-taking pressure. Institutions noted that while inflation concerns and rate hike expectations pose a near-term headwind, the medium-to-long-term thesis of tightening mine supply — including delayed restarts at major global operations and Goldman Sachs recently cutting global copper supply forecasts by 350,000 tons — remains intact.
The fund invests at least 80% of its total assets in securities of companies involved in the global copper mining industry, making it highly sensitive to both copper price fluctuations and macro rate expectations.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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