HK Stock Market Move | Copper stocks fall sharply as global central banks shift to raising interest rates to suppress copper prices, causing concerns in the market about the cancellation of US copper tariffs.

The copper industry stocks fell at the forefront. As of the time of publication, MMG (01208) fell by 5.28% to 6.64 Hong Kong dollars; JIANGXI COPPER (00358) fell by 4.61% to 31.02 Hong Kong dollars; CHINFMINING (01258) fell by 2.08% to 11.31 Hong Kong dollars. On the news front, after the June Federal Reserve meeting, the expectation of a rate hike by the Federal Reserve continues to ferment. Major central banks around the world have begun to shift towards raising interest rates. On June 11, the European Central Bank decided to raise its policy rate for the first time in three years. The Bank of Japan also decided to raise interest rates again on June 16. In addition, the US dollar index continues to rise, putting pressure on copper prices. New Lake Futures released a research report stating that as the June 30 deadline for US copper tariffs approaches, market concerns about the cancellation of US copper tariffs have intensified, which may be a significant factor in the large decline in copper prices. Yesterday, the spread between the near-term COMEX contract and LME copper prices narrowed to within 100 US dollars per tonne, compared to running above 400 US dollars before this week. Currently, the size of copper inventories in the US market is relatively large, and whether tariffs will be levied will have a significant impact on copper supply and demand in non-US markets.