Donald Trump's reciprocal tariff threat appears to have sparked life into the mining sector.
Antofagasta PLC (LSE:ANTO) and Glencore PLC (LSE:GLEN) led the FTSE 100 leaderboard with gains of 4% and 3% respectively. They were closely followed by a gaggle of top-tier diggers, including Anglo American, Fesnillio and Glencore.
The rally follows the US President's trade threats, fuelling expectations of higher metal prices and increased demand for non-Chinese suppliers.
Trump’s proposed policies, including higher tariffs on Chinese imports, have heightened concerns over supply chain disruptions, particularly for key industrial metals such as copper, silver, and zinc.
As a result, investors are betting on higher commodity prices and increased demand for miners outside China.
Copper, a key revenue driver for Antofagasta and Glencore, could see price gains amid potential supply constraints.
The rally also reflects a stronger inflation hedge, as metals tend to perform well in periods of economic uncertainty. If tariffs escalate, mining stocks could continue to benefit from rising metal prices and strategic shifts in global supply chains.