Shares of copper mining companies have experienced a downfall due to the decrease in red metal prices.

Factors including the anticipation of an additional increase in exchange inventories and the skyrocketing value of the U.S.

dollar have intensified concerns about the demand for industrial metals.

Copper prices, which are fundamental in power and construction industries, have recently dropped to $7,956.5 per metric ton - the lowest since May 26.

Copper mining conglomerates, Freeport McMoRan (ASX:FCX) and Southern Copper (ASX:SCCO), have both seen their shares drop by 1.2%.

Another noticeable drop is from Teck Resources which saw its shares dipped 2% to C$55.78.

The U.S.

listed shares of mining magnates BHP (ASX:BHP) and Rio Tinto (ASX:RIO) have also dropped 1% and 1.3%, respectively.

Further exacerbating this downward trend, stocks of copper in LME registered warehouses at 168,600 tons have risen over 200% since July’s middle and are currently at their peak since May of the previous year.

Freeport McMoRan (ASX:FCX), a significant contributor in the mining sector, mainly focusses on the exploration and production of mineral resources such as copper, gold, and molybdenum.