Hindustan Copper, Hindalco Industries, Polycab, KEI Industries shares in focus; here's why

Shares of Hindustan Copper, Hindalco Industries, Polycab, KEI Industries, RR Kabel, KEI Industries, Finolex Cables, Universal Cables and Dynamic Cables are in focus today after copper prices rose to a record high on the London Metal Exchange. Hindalco Industries from the Aditya Birla Group is the largest producer of refined copper in India.

Hindustan Copper is also another major vertically integrated copper producer in India. Copper is an excellent conductor of electricity. Hence, cables and wires stocks are in focus today. Polycab, KEI Industries, RR Kabel, KEI Industries, Finolex Cables, Universal Cables and Dynamic Cables  are among the key cables and wires stocks in  India.

The rise in copper prices comes after a rally fueled by anticipation that President Donald Trump will levy US tariffs on imports of refined metal.

Benchmark three-month futures on the  London Metal Exchange (LME) rose as much as 0.8% to reach a record $14,533 a tonne, surpassing the previous record set in January.

Copper’s 17% gain over the past year reflects a deepening structural imbalance between global supply and demand. An ageing base of large copper mines is finding it increasingly difficult to expand output fast enough to meet rising consumption. At the same time, demand is being driven higher by the rapid expansion of data centres, renewable energy projects and electricity grids.

This widening supply gap has strengthened the long-standing bullish case for copper, with expectations that constrained mine supply could continue to support prices over the longer term.