Jinwu Financial News | CITIC Securities said that domestic copper prices rose 3.2% to 79,000 yuan/ton last week, breaking the pre-May 2021 high; domestic aluminum prices fell 1.9%. Supply disturbances on the copper mine side have once again escalated. The tight supply side of alumina is expected to provide cost support for aluminum prices. Combined with expectations of domestic economic recovery, the copper and aluminum sector is expected to remain strong. It is recommended to focus on: Luoyang Molybdenum Industry (03993), Zijin Mining (02899), etc.
As the geographical situation heats up and becomes more complicated, gold prices are expected to be supported by risk aversion, compounding the significant improvement expectations shown by many domestic gold companies' first-quarter performance forecasts. The bank recommended allocation opportunities for the gold sector, and recommended focusing on: Zhaojin Mining (01818), Shandong Gold (01787), etc.
Furthermore, silver prices are expected to benefit from the restoration of the gold to silver ratio and the recovery in global manufacturing sentiment. It is recommended to focus on the allocation value of the silver sector. The price of tin and nickel has risen sharply, and companies related to the cobalt industry have reached an inflection point in profits. Rare earth prices continue to rise, and tungsten prices are expected to remain strong.