Copper prices rise, boosted by the cut in interest rates by the Federal Reserve and concerns over supply.

Copper prices rose following the previous interest rate cut by the Federal Reserve, and traders remain concerned about signs of tight supply in the spot market. In early trading, futures on the London Metal Exchange rose by 0.5% to $11,616 per ton, while the US dollar index dropped by 0.2% to 98.67. A lower interest rate environment typically boosts economic activity and demand, while a weaker US dollar makes commodities cheaper for overseas buyers. Analysts at ANZ Bank stated that the market is not concerned about China's weak economic data, but is instead focusing on the long-term demand for copper from renewable energy, electric vehicles, and data centers. These optimistic demand prospects are conflicting with the increasingly severe supply concerns, as interruptions in production at various mines worldwide have heightened these worries and kept prices high.