Mumbai: Shares of metal companies such as Hindustan Zinc and Hindustan Copper rose sharply in morning trade on Tuesday, January 27, even as broader markets remained volatile. Strong global commodity prices and positive demand outlook helped lift investor sentiment around metal stocks.
Hindustan Zinc shares jumped nearly 5 percent , while Hindustan Copper gained over 3.5 percent during early trading. The rally comes amid rising prices of silver and copper, which are key drivers for both companies.
Copper prices and demand outlook
Copper prices continue to stay firm on expectations of strong long-term demand. According to reports, the outlook for copper in 2026 remains largely positive due to limited supply, falling ore quality, and rising demand from electric vehicles, renewable energy projects, and AI-driven data centres.
Some analysts expect copper prices to move close to USD 12,000 per tonne, while others see prices stabilising in the USD 10,000–USD 11,000 range if a short-term global surplus emerges. Even so, long-term demand trends remain supportive for copper producers.
Hindustan Copper gains on mining block win
Hindustan Copper shares also moved higher after the company announced that it has emerged as the preferred bidder for the Baghwari-Khirkhori Copper and Associated Mineral Block in Madhya Pradesh.
The auction for the composite licence was completed on January 22, with official communication received over the weekend. The block was auctioned as part of the government’s mineral reform programme.
Hindustan Copper is a Mini-Ratna PSU under the Ministry of Mines and is India’s only copper ore mining company, holding all operating copper mining leases in the country.
Hindustan Zinc hits 52-week high
Hindustan Zinc shares climbed as much as 4.9 percent to touch a 52-week high of ₹733 on the NSE. Over the past six months, the stock has surged around 65 percent , supported mainly by the sharp rise in silver prices.
Silver is not mined directly but is recovered from zinc and lead ores, making it a key earnings driver for Hindustan Zinc. The company is India’s only integrated zinc producer.
Silver prices fuel stock rally
Silver prices have surged strongly in recent weeks, supported by demand from green energy and technology sectors. On MCX, silver prices jumped 16 percent in a week, crossing Rs 3 lakh per kilogram for the first time.
Gold prices have also remained firm ahead of key global events such as the US Federal Reserve’s interest rate decision.
