◂ Event Timeline

Feb 2, 2023MACROGlobal

Copper prices rise as Fed messaging weakens the dollar

Copper prices rose after the Fed signaled rate rises would end soon, weakening the dollar. Copper was near $9,135 a tonne on the LME, with demand expectations tied to China's reopening.

WHY IT MATTERS

Copper is not a feed input, so the direct effect on feed markets is limited, though the dollar weakness signal is relevant to dollar-priced commodities broadly.

AFFECTSDXY▼

SOURCE
financialpost.comReutersFeb 2, 2023

Price reaction & history

DXY▼bearishSO FAR1d -0.2%5d +1.3%20d +2.1%

After 1,637 past bearish macro events, DXY moved a median -0.2% over 5 sessions (39% higher; middle half -0.6% to +0.3%), and -0.2% over 20.

Jun 10, 2020Possible Fed move to cap yield rise could further weaken U.S. dollar | Financial Post+0.8%
Jul 29, 2026ING Says Dollar to Take Cue from Oil Prices If Fed Holds Rate | Financial Post-0.9%
Feb 25, 2020U.S. dollar falls as expectations of a Fed rate cut rise | Financial Post-0.5%
Dec 12, 2019Euro buoyed before ECB meeting as Fed forecast knocks dollar | Financial Post-0.4%
Oct 28, 2021Dollar falls on euro strength after ECB meeting as rates move | Financial Post+0.6%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

DXY · GP ▸

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