US copper futures rallied 6% on Monday, expanding the price gap with the London prices amid speculation about new US tariffs after Trump raised steel tariffs from 25% to 50%.

US copper futures rose 5.7% today to $4.9175 a pound, the highest since April 3, while three-month standard prices rose 1.1% to $9597 a ton at the London metals exchange.

The US-London price gap expanded to $1231 a ton, compared to $759 on Friday.

In February, Trump ordered an investigation into the use of potential tariffs on copper imports to boost US production of this critical mineral for EVs, chips, and military equipment. 

Aluminium prices settled at $2443 a ton at the London Exchange away from May 12 lows at $2425, while US aluminium premium on the London price rose by 54% compared to Friday to $1279 a ton.

Lead prices rose 0.9% to $1975, while zinc added 1.7% to $2663, as tin rose 0.8% to $30,600, while nickel climbed 0.9% to $15,365.

A weaker dollar bolstered industrial metals and made them cheaper to holders of other currencies.

Bitcoin started Monday with a rebound near $105,500 after falling 5.5% last week, away from recent record highs at $112,000, with the price dropping below the Fibonacci level of 0.786, with traders aggressively collecting profits. 

Despite the weakness in the last days of May, bitcoin closed the month with an 11% profit, after a 14% surge in April, sending the price towards strong resistance areas. 

Recent data showed total bitcoin holdings at central exchanges fell below 2.5 million bitcoins by the end of 2025, with the decline accelerated as the price hit a record high.

It shows that major wallets are purchasing and holding bitcoins, with companies such as MicroStrategy holding 7390 bitcoins, while both MetaPlanet and GameStop increased their holdings as well.

Record Inflows to Bitcoin ETFs 

Bitcoin exchange funds in the US had a record cash inflow of $5.23 billion, with some governments, such as the UAE and Pakistan also bolstering their bitcoin purchasing operations.

The Technical Side

Technically, bitcoin appears in a wait and monitor phase, with momentum indicators reflecting a mostly neutral status. 

The overall technical picture remains positive for the long term.

Russia Gets on Bitcoin Train

The Russian Agricultural Bank is considering the use of bitcoin to settle grain export agreements, valued at over 49.5 million tons. 

Russia has shown increasing openness to crypto adoption as a way to circumvent western sanctions. 

It would open up the agricultural commodity markets to cryptocurrencies, especially with wheat transactions. 

Strong Resistance 

Bitcoin is trying to tackle the critical $106,000 resistance, but several short-term technical indicators are offering resistance, especially the 50-day SMA.

Bitcoin recently fell to $104,750 and tested a critical Fibonacci support before rebounding, but in the four-hour time frame, the chances of a Death Cross boosts the odds of more technical losses.

The US dollar dipped down on Monday and gave up some of the gains made last week as investors assess the impact of US President Donald Trump’s tariffs.

The dollar was hurt after Trump announced plans to double the steel and aluminum tariffs to 50%, while China and the US traded criticism and accusations of violating the recent trade agreement in Geneva.

The dollar fell 0.3% to 143.57 yen as of 04:39 GMT, giving up some of the 1% gains made last week.

Euro rose 0.1% to $1.1362, while sterling added 0.2% to $1.3485.

Aussie rose 0.3% to $0.6453, while the New Zealand dollar rose 0.4% to $0.5994.

The dollar index fell 0.1% against a basket of major rivals to 99.283.

The Trade War Impacts the Dollar

The US dollar suffered weeks of volatile trading due to Trump’s changing tariff policies, amid persistent concerns about a US recession.

It fell 3% in the week after the Liberation Day’s tariffs in April, andfell 1.9% in the week after Trump’s threats to impose 50% tariffs on EU goods.

The dollar had a transient recovery last week as the US resumed trade talks with the EU and a US trade court suspended Trump’s tariffs, but a day later, the appeals court stayed the tariffs.

Goldman Sachs Warns Against Persistent Risks 

Goldman Sachs expects that 10% tariffs will continue to apply on major US trade partners, in turn bolstering the “sell America” narrative as investors flee US assets.

And this week, the Senate will discuss Trump’s tax reform bill, which could add $3.8 trillion to the US government debt pile in the next 10 years.

A particular sticking point in the bill in section 899, giving the US freedom to impose taxes on corporations and investors from countries that impose “unfair taxes” on US goods and companies.

Such a bill would massively hurt global investor sentiment and interest in the US market.

Gold prices rose over 2% in European trade on Monday, trading once more above $3300 on strong haven demand amid mounting US-China trade tensions. 

The US dollar skidded to six-week lows against a basket of major rivals, amid renewed concerns about a US recession as investors await Fed Chair Jerome Powell’s remarks later today.

Prices

Gold prices rose 2.1% today to $3359 an ounce, with a session-low at $3289.

On Friday, gold lost 0.9%, the fourth loss in five days under the pressure of a stronger dollar.

Trade Tensions

China responded to US accusations of violating the Geneva trade agreement, by also accusing Washington of violating the deal, in a sign of deteriorating conditions between the two biggest economies in the world.

Trade tensions resumed after a short hiatus last month, when both sides signed a deal to suspend most tariffs for 90 days in Geneva.

Then the Trump administration put new limits on chip and chemical exports to China, and cancelled Chinese students’ visas, triggering the ire of Beijing.

China’s commerce ministry warned that such measures contradict the spirit of the Geneva deal, but conversely, Beijing maintained strict control over exports of rare earth minerals.

US Dollar

The dollar index fell over 0.7% on Monday to a six-week trough at 98.68 against a basket of major rivals.

A weaker dollar makes the greenback-denominated gold futures cheaper to holders of other currencies. 

US Rates

Fed official Christopher Waller said rate cuts later this year are still possible even if Trump’s tariffs lead to price pressures.

According to the Fedwatch tool, the odds of a Fed 0.25% June interest rate cut stood at 2%, while the odds of a July rate cut stood at 24%.

Now traders expect 50 basis points of US rate cuts overall this year, starting October.

SPDR

Gold holdings at the SPDR Gold Trust remained unchanged on Friday at a total of 930.20 tons, the highest since May 13.