Goldman said buy copper then prices tanked fast

by

Goldman Sachs told clients to buy copper just one day before the price crashed. On July 29, the bank recommended short-term call options, betting on a 50% tariff on copper imports. The next day, President Trump announced a limited tariff excluding refined copper products. This caused U.S. copper prices to fall over 22% within hours, the largest single-day drop on record.

“Goldman Sachs misjudged the tariff impact and sent an email to clients titled ‘No copper tariff. Mea Culpa.’”
https://www.investing.com/news/stock-market-news/goldman-sachs-missteps-with-copper-tariff-prediction–bloomberg-93CH-4166632

The sharp drop surprised many after a rally. Goldman expected broader tariffs to support prices. The narrower policy led to losses for clients who followed the advice.

This shows even major banks can miss sudden market shifts tied to political decisions. It raises questions about relying on expert forecasts when policies can change fast.

Uh-oh! It looks like you're using an ad blocker.

Our website relies on ads and the generous support of readers like you to keep delivering free, high-quality content. Right now, we are facing serious funding challenges and we need your help more than ever. Disable your ad blocker and this message will vanish. You can also sign up for a membership to enjoy an ad-free experience while supporting our work: https://citizenwatchreport.com/plans/subscriptions/ Your support helps us stay independent, continue our work, and keep content free for everyone. We truly appreciate your understanding and thank you for standing with us.