EBSCN·2026-02-01 13:11Investment Rating - The report maintains an "Overweight" rating for the copper industry [6] Core Viewpoints - The report is optimistic about the upward trend of copper prices in 2026, driven by tight supply and improving demand [4][10] - As of January 30, 2026, the SHFE copper closing price was 103,680 CNY/ton, up 2.31% from January 23, while the LME copper closing price was 13,071 USD/ton, down 0.44% [1][17] - The report highlights a decrease in domestic copper social inventory by 2.2% and an increase in LME copper inventory by 2.6% [2][25] Supply Summary - In January 2026, China's electrolytic copper production was 1.1793 million tons, a 0.1% increase month-on-month and a 16.3% increase year-on-year [3][65] - The TC spot price was -50.30 USD/ton, remaining at a low level since September 2007 [3][60] - Domestic copper concentrate inventory at major ports was 673,000 tons, down 6.8% from the previous week [2][46] Demand Summary - The cable industry's operating rate increased by 0.8 percentage points to 59.46% as of January 29, 2026 [4][74] - Air conditioning production for February to April 2026 is projected to decline by 31.6%, 6.5%, and increase by 4.0% year-on-year [4][92] - The report indicates that the cable sector accounts for approximately 31% of domestic copper demand [4] Investment Recommendations - The report recommends investing in Zijin Mining, Western Mining, Luoyang Molybdenum, and Jincheng Mining, while also paying attention to Tongling Nonferrous Metals [4]