HK Stock Market Move | Copper stocks lead the decline as U.S. copper tariffs are slow to materialize; major banks warn of the risk of a copper price bubble bursting.

Copper stocks lead the decline. As of press time, CHINFMINING (01258) fell 4.03% to HK$12.16; JIANGXI COPPER (00358) fell 3.69% to HK$27.68; MMG (01208) fell 3.56% to HK$6.765; CMOC Group Limited (03993) fell 3.46% to HK$12.29. On the news front, the market had previously expected the U.S. to announce the results of its electrolytic copper import tariff policy by the end of September, but as of mid-October, the policy remained pending. Natixis analysts warned that trades betting on tariffs have formed a bubble in the copper market, and if the possibility of tariffs is ruled out, the bubble could burst quickly. Macquarie said that under such circumstances, copper prices could fall toward US$10,000 per ton. It is worth noting that on October 13, the already-striking Centinela copper mine restarted voluntary mediation; on October 14, BHP reached a preliminary agreement with Escondida to avoid a strike at a major copper mine. BOCI pointed out that the extreme scenario of the world's largest copper mine and a core mine both being in crisis at the same time was quickly resolved within the same week, and the supply disruption premium previously priced in faces concentrated giveback.