Copper gains amid US-China trade truce announcement

At the beginning of the week, traders assessed the impact of the US-China trade truce on inflation and global economic growth dynamics. This led to an increase in industrial metals’ prices, including copper, Bloomberg reports.

According to the latest data from the US Bureau of Labor Statistics, consumer prices in the country rose less than expected in April amid declines in clothing and new car prices. Bloomberg experts say softer figures indicate that importers and retailers are absorbing some of the additional costs associated with import fees. Additionally, foreign goods currently being sold in the US were shipped before the tariffs took effect.

The news agency reports the tariff truce announced Monday revived commodity markets, which had been suffering from trade tensions that shook the prospects of global economic growth. However, some economists predict the duties will keep inflation above the Federal Reserve's 2% target, leading to a slowdown in the US economy.