Industrial metals are poised for their strongest monthly performance since January after the US and Iran reached a tentative agreement to extend their ceasefire by 60 days. The deal, which would also initiate further negotiations on Tehran's nuclear program, has buoyed commodity markets amid easing geopolitical tensions.

President Donald Trump has not yet signed off on the terms, leaving the agreement in limbo. However, the mere prospect of extended stability has traders betting on reduced risk premiums across base metals including copper, aluminum, and zinc.

The ceasefire extension signals potential de-escalation in a region that supplies critical raw materials for global manufacturing. Industrial metals have been volatile this year, reacting sharply to Middle East developments and supply chain concerns.

With Trump's approval still pending, markets remain cautiously optimistic. The 60-day timeline provides a window for diplomatic progress, but any breakdown could reverse these gains quickly.