Copper rises for second session as US jobs data eases Fed pressure
Summary
Copper prices increased for a second consecutive session following a US employment report that indicated slower job creation than anticipated, alongside rising unemployment and modest wage growth. This weaker labor-market data led market participants to lower expectations for an interest-rate hike at the Federal Reserve's upcoming October meeting, thereby easing pressure on the Fed. As a result, broader support emerged for metals and other risk-sensitive assets, aided by a declining US dollar.
Analysis
Copper: Copper is an industrial metal used extensively in electrical equipment, construction, manufacturing, and energy infrastructure. In the reported session, copper advanced as weaker-than-expected US employment data reduced expectations for near-term Federal Reserve tightening, supporting sentiment toward commodities and other risk-sensitive assets. US employment: The September US employment report showed markedly slower job creation than economists expected, while unemployment increased and wage growth remained subdued. Federal Reserve: Market participants reduced expectations for an interest-rate increase at the Federal Reserve’s October meeting after the softer labor-market data. Market reaction: A weaker US dollar and lower rate-hike expectations provided broader support for metals and other risk-sensitive assets.
Categories
macropolitics
Related sources
- https://www.bloomberg.com/news/videos/2026-10-02/em-assets-find-relief-as-us-jobs-data-eases-rate-fears-video
- https://www.kitco.com/news
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- https://www.federalreserve.gov/data/releaseschedule.htm
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- https://www.bloomberg.com/economics-v2
- https://www.reuters.com/business/fed-seen-skipping-october-rate-hike-job-market-cools-2026-10-02/