Copper Prices Rebound Amidst Friday Mining Stock Slump

Copper prices showed a rebound amidst a Friday slump in mining stocks. The recent volatility in precious metals markets has largely been driven by profit-taking by investors. This reaction followed the nomination of a new Federal Reserve chair, which affected market sentiment.

Copper Market Overview

On Friday, March copper futures experienced a significant sell-off. The price fell by as much as 9.5% to $5.76 per pound, translating to $12,700 per tonne. Ultimately, copper ended the day at $5.92 per pound, down 4.5% or $13,060 per tonne. Despite this decline, copper remains up over 4% year-to-date.

Recent Highs and Market Trends

Prior to Friday’s trading, copper achieved an all-time high of $6.58 per pound ($14,500 per tonne) on Thursday. Although the recent day saw a downturn, copper prices indicated recovery potential.

Impact on Mining Stocks

The decline in metal prices had a ripple effect on mining stocks in both the United States and Canada. Many companies faced significant losses, with several recording double-digit percentage drops.

• Newmont Corporation (NYSE:NEM) fell by 11.5%, now valued at $122 billion.
• Barrick Gold (NYSE:B) decreased by 13%, trading over 31 million shares.
• Agnico Eagle Mines (TSX:AEM) dropped 10.8% to a market cap of $95.6 billion.
• Gold Fields (NYSE:GFI) saw a decline of 14.5% to $47.4 billion.
• Royalty and streaming companies like Wheaton Precious Metals (NYSE:WPM) fell by 13.6%.

Performance of Major Players

Despite the downturn, some diversified mining companies managed to fare better, although still reporting losses:

• BHP (NYSE:BHP): Down 4.8% with a market value of $175.6 billion.
• Rio Tinto (NYSE:RIO): Decreased by 4.3%, valued at $155.3 billion.
• Glencore (OTCPK:GLNCY): Only lost 3.4%, worth $80 billion.

Global Mining Landscape

The global mining sector remains robust, as indicated by the previous year’s performance. Notably, most prominent mining stocks are still in the green year-to-date despite the recent market fluctuations.

As the year progresses, the mining and metals markets will be closely monitored for further trends and potential recovery in both copper and other commodities.