Copper futures dropped over 2% to $5.46 per pound on Friday, despite being poised for a weekly gain of around 10% with analysts at BMI pointing to sudden shifts in U.S. trade policy.

Prices of copper in the US have surged since January, when President Donald Trump threatened to impose a tariff on imports of the metal that’s a vital component in power networks, plumbing and industrial machinery.

Copper miners remain bullish on the metal's future prospects even as a looming 50% U.S. tariff creates short-term price volatility, Barrick Mining Corp CEO Mark Bristow said in Zambia, where the company is expanding its operations.

Sabrin Chowdhury, head of commodities research at BMI, says that there is a huge shortage of copper ore in China at the moment so any rerouting of Chilean copper ore originally heading to the U.S. would be good for China in the short-term,

What Happened in Markets Today Copper prices—and mining stocks—rose after Trump confirmed a 50% tariff on the metal will take effect Aug. 1. Prices for the [metal hit record highs](

Trafigura, Mercuria, Glencore and IXM set for bumper profits from metal shipped into America ahead of new levies

The commodity’s price is near a record high because of Trump’s trade war. It might be wise for investors to wait for a dip before easing in.

U.S. President Donald Trump's plans to impose 50% tariffs on copper would include semi-finished products such as those used for power grids, the military and data centers, Bloomberg News reported on Thursday,