New York, Feb 4, 2026, 14:30 EST — Market open for the regular session.
- Shares of Freeport-McMoRan slipped roughly 5%, trading around $61.47 in the afternoon session
- Copper slips amid a stronger dollar and rising LME inventories
- Attention turns to inventory figures and the February 11 U.S. jobs report
Freeport-McMoRan (FCX) dropped close to 5% Wednesday, erasing much of Tuesday’s gains amid weaker copper prices. By 2:30 p.m. EST, shares were down 4.9% at $61.47, having fluctuated between $60.99 and $65.64, with volume approaching 19 million shares.
This move is notable since Freeport acts as a high-beta play on copper, just as the metal slides and liquidity tightens. Three-month copper on the London Metal Exchange fell 0.7% to $13,384.50 a metric ton. Hedge fund manager Anant Jatia of Greenland Investment Management noted, “You’re seeing volatility in precious metals spill over into copper,” and added, “cash is king.” Stocks in LME-registered warehouses climbed to 155,725 tons after metal was returned “on warrant” in Taiwan and South Korea, meaning it’s now registered and ready for delivery. (Business Recorder)
The pressure partly stems from the macro backdrop. The dollar index climbed following ADP’s report showing 22,000 private payrolls added in January, alongside an ISM survey indicating U.S. services activity remained steady despite rising input costs. A stronger dollar tends to push up prices for buyers using other currencies, hitting dollar-priced metals. (Reuters)
Other copper-related miners took a hit alongside it. Southern Copper plunged nearly 10%, Teck Resources slipped around 6%, and diversified giants BHP and Rio Tinto each dipped about 1%.
The drop follows a 6.4% surge in Freeport’s shares to $64.67 just a day earlier, despite a weaker overall market. On Tuesday, trading volume in the stock soared past its 50-day average, according to MarketWatch. (MarketWatch)
Freeport, the world’s largest publicly traded copper miner, reported Q4 profits that topped Wall Street forecasts on Jan. 22. The boost came as stronger copper and gold prices helped offset production losses from a deadly incident last year at its Grasberg mine in Indonesia. CEO Kathleen Quirk called the event “humbling” during an investor call, outlining a recovery plan that aims to restore roughly 85% of Grasberg’s output by the second half of this year. The company also cut its 2026 production forecast by 50 million pounds, now projecting 3.4 billion pounds. (Reuters)
Analysts remain bullish on copper for 2026, though enthusiasm has faded since the sharp rally in January. A Reuters poll released Tuesday showed the median forecast for LME cash copper at $11,975 a ton next year. The consensus now sees last month’s surge past $14,000 as unsustainable. (Reuters)
This week’s tone has been driven by widespread pressure across commodities. Metals and crude tumbled Monday after President Donald Trump picked Kevin Warsh as his choice for the next U.S. Federal Reserve chair, according to Reuters. CME Group also hiked margin requirements—the cash traders need to hold futures positions—following a sharp drop in precious metals. “A stronger U.S. dollar is also adding pressure on precious metals and other commodities, including oil and base metals,” said Vivek Dhar, commodities strategist at Commonwealth Bank of Australia. (Reuters)
The downside for miners is clear: rising exchange inventories paired with weaker physical demand could trigger a self-reinforcing sell-off. On the company front, any hiccup in ramping up production at crucial sites would hit hard in a market already stretched thin on copper supply.
Policy headlines returned to the spotlight Wednesday as the United States and Mexico announced a 60-day push to align their trade strategies on critical minerals. They’re considering measures like price floors and stockpiling. (Reuters)
Looking ahead, the focus shifts from individual company news to the upcoming data that will sway both the dollar and metals markets. The U.S. Bureau of Labor Statistics announced the delayed January nonfarm payrolls report will drop on Feb. 11. That release has the potential to shake up rate expectations—and with them, the outlook for copper and related miners. (Reuters)
