Copper and aluminum retreat as AI spending concerns rise

Copper: Copper is an industrial metal widely used in power systems, electronics, construction, and data-center infrastructure. In the reported market move, copper retreated as an artificial-intelligence stock selloff and concerns about financing the data-center buildout weakened expectations for future metals demand. Aluminum: Aluminum is a lightweight industrial metal used in construction, transportation, electrical applications, and data-center components. It declined alongside copper as investor concern over potentially overheated AI infrastructure spending reduced appetite for risk and clouded the demand outlook. Demand backdrop: Recent market coverage also pointed to improving Chinese demand signals and low inventories as supportive factors for copper, showing that the AI-driven risk-off move is occurring alongside underlying physical-market considerations. AI infrastructure: Data centers require substantial quantities of copper for power distribution, cabling, circuit boards, and networking equipment, while aluminum is used in structural and electrical components. Market sensitivity: Industrial metals have recently been sensitive to shifts in technology-stock sentiment because AI infrastructure investment has become an important expected source of future materials demand.