Report Industry Investment Rating - The report is bullish on the bond market [2][4][12][83][85] Core Viewpoints of the Report - The economic downward pressure may increase in the second half of the year. Price is the key variable for economic recovery. The price recovery at the supply level is starting to show at the meso - level, but the economic fundamentals in July were poor, and the improvement of CPI and PPI was less than expected. Consumption and exports may face pressure in the second half of the year [2][10][11][83] - The recent correction in the bond market is due to the systematic and active reduction of duration by bond funds and securities firms' proprietary trading, which has nothing to do with redemptions and economic fundamentals. When many institutions reduce their bond investment duration, a new market may start [2][11][83] - In 2025, the bond market lacks a trending market and requires correct band - trading. It is predicted that the yield of the 10Y Treasury bond will fluctuate between 1.6% - 1.8% in the second half of the year. After the recent correction, the 10Y Treasury bond is close to 1.75%, with high cost - effectiveness [4][12][85] Summary by Relevant Catalogs 1. Macro News - In July, the total retail sales of consumer goods were 3.9 trillion yuan, a year - on - year increase of 3.7%, 1.1 percentage points lower than the previous month. From January to July, the total retail sales of consumer goods increased by 4.8% year - on - year, 0.2 percentage points lower than from January to June. From January to July, fixed - asset investment increased by 1.6% year - on - year, 1.2 percentage points lower than in the first half of the year. In July, the added value of industrial enterprises above the designated size increased by 5.7% year - on - year, 1.1 percentage points lower than in June [13] - Three departments jointly issued the "Implementation Plan for the Fiscal Interest Subsidy Policy for Personal Consumption Loans", with a subsidy ratio of 1 percentage point, starting from September 1, 2025, for a period of 1 year [4][16] - On August 15, the central bank released the "China Monetary Policy Implementation Report for the Second Quarter of 2025", continuing the moderately loose tone, and the probability of recent reserve requirement ratio cuts and interest rate cuts is low. The monetary policy focuses on implementation, emphasizing "interest rate guidance", "preventing idle funds", "improving the efficiency of fund use", and "making good use of various structural monetary policy tools" [4][16] - The US CPI in July increased by 2.7% year - on - year, lower than the expected 2.8%, and the core CPI increased by 3.1% year - on - year, higher than the expected 3% [18] 2. Meso - level High - frequency Data 2.1 Consumption - As of August 10, the average daily retail volume of passenger car manufacturers was 45,000 vehicles, a year - on - year decrease of 3.8%, and the average daily wholesale volume was 40,000 vehicles, a year - on - year increase of 16.5%. As of August 15, the total box office revenue of national movies in the past 7 days was 144,668,300 yuan, a year - on - year increase of 46.1% [22] - As of August 1, the total retail volume of three major household appliances was 1.739 million units, a year - on - year decrease of 3.7%, and the total retail sales were 4.05 billion yuan, a year - on - year increase of 2.7% [27] 2.2 Transportation - As of August 10, the container throughput of ports was 6.792 million twenty - foot equivalent units, a year - on - year increase of 7.3%. As of August 15, the average subway passenger volume in first - tier cities in the past 7 days was 4.0767 million person - times, a year - on - year increase of 2.7% [28] - As of August 10, the postal express pick - up volume was 3.53 billion pieces, a year - on - year increase of 13.4%. The railway freight volume was 78.697 million tons, a year - on - year increase of 4.6%, and the highway truck traffic volume was 5.33 million vehicles, a year - on - year increase of 2.4% [35][37] 2.3 Industrial Operating Rates - As of August 13, the blast furnace operating rate of major steel enterprises in the country was 77.5%, a year - on - year increase of 3.6 percentage points. As of August 14, the average asphalt operating rate was 27.0%, a year - on - year increase of 5.0 percentage points [43] - As of August 14, the soda ash operating rate was 87.1%, a year - on - year increase of 5.3 percentage points, and the PVC operating rate was 76.7%, a year - on - year increase of 1.9 percentage points. As of August 15, the average PX operating rate was 85.0%, and the average PTA operating rate was 78.9% [46] 2.4 Real Estate - As of August 15, the total commercial housing transaction area in 30 large - and medium - sized cities in the past 7 days was 1.209 million square meters, a year - on - year decrease of 18.1%. The total number of commercial housing transactions was 12,667 units, a year - on - year decrease of 13.6% [48][50] 2.5 Prices - As of August 15, the average wholesale price of pork was 20.2 yuan per kilogram, a year - on - year decrease of 25.7%, and a 2.2% decrease compared to four weeks ago. The average wholesale price of vegetables was 4.7 yuan per kilogram, a year - on - year decrease of 20.9%, and a 7.4% increase compared to four weeks ago. The average wholesale price of six key fruits was 7.0 yuan per kilogram, a year - on - year decrease of 6.3%, and a 4.5% decrease compared to four weeks ago [51] - As of August 15, the average price of thermal coal at northern ports was 689.0 yuan per ton, a year - on - year decrease of 18.1%, and a 9.9% increase compared to four weeks ago. The average spot price of WTI crude oil was 63.5 US dollars per barrel, a year - on - year decrease of 18.6%, and a 5.4% decrease compared to four weeks ago. The average spot price of rebar was 3321.2 yuan per ton, a year - on - year increase of 6.1%, and a 4.5% increase compared to four weeks ago [52] - As of August 15, the average spot price of iron ore was 792.9 yuan per ton, a year - on - year increase of 3.3%, and a 2.7% increase compared to four weeks ago. The average spot price of glass was 14.6 yuan per square meter, a year - on - year decrease of 15.5%, and a 2.2% increase compared to four weeks ago [58] 3. Bond and Foreign Exchange Markets - On August 15, overnight Shibor was 1.40%, up 8.30 BP from August 11. R001 was 1.44%, up 9.33 BP; R007 was 1.49%, up 3.21 BP. DR001 was 1.40%, up 8.75 BP; DR007 was 1.48%, up 3.94 BP. IBO001 was 1.44%, up 9.11 BP; IBO007 was 1.52%, up 5.32 BP [60] - Most Treasury bond yields rose. On August 15, the yields of 1 - year, 5 - year, 10 - year, and 30 - year Treasury bonds were 1.37%, 1.59%, 1.75%, and 2.05% respectively, up 1.3 BP, 4.9 BP, 5.8 BP, and 9.0 BP respectively from August 8 [66] - On August 15, the yields of 1 - year, 5 - year, 10 - year, and 30 - year China Development Bank bonds were 1.53%, 1.74%, 1.86%, and 2.15% respectively, up 3.2 BP, 7.5 BP, 7.9 BP, and 9.8 BP respectively from August 8 [66] - On August 15, the yields of 1 - year, 5 - year, and 10 - year local government bonds were 1.38%, 1.69%, and 1.84% respectively, down 0.7 BP, up 3.4 BP, and up 2.0 BP respectively from August 8 [71] - On August 15, the yields of AAA - rated 1 - month and 1 - year and AA + - rated 1 - month and 1 - year inter - bank certificates of deposit were 1.47%, 1.64%, 1.49%, and 1.67% respectively, up 1.1 BP, 2.0 BP, 1.1 BP, and 1.0 BP respectively from August 8 [71] - As of August 15, 2025, the yields of 10 - year Treasury bonds in the US, Japan, the UK, and Germany were 4.3%, 1.6%, 4.7%, and 2.8% respectively, up 6 BP, 7 BP, 11 BP, and 9 BP respectively from August 8 [75] - On August 15, the central parity rate and spot exchange rate of the US dollar against the Chinese yuan were 7.14 and 7.18 respectively, down 11 and 3 pips respectively from August 8 [76] 4. Institutional Behavior - Since the beginning of 2025, the duration of medium - and long - term pure bond funds for interest - rate bonds has shown a trend of first decreasing and then increasing, and has been continuously decreasing in the past three weeks. As of August 15, 2025, the estimated average duration was about 5.2 years, a decrease of about 0.04 years compared to last week (August 8) [79] - Since the beginning of 2025, the duration of medium - and long - term pure bond funds for credit bonds has shown a volatile trend. In the past three weeks, the duration has risen rapidly and then fluctuated. As of August 15, 2025, the estimated median duration was about 2.8 years, and the estimated average duration was about 2.7 years, an increase of about 0.14 years compared to last week (August 8) [81] 5. Investment Recommendations - The report is firmly bullish on the bond market. It is predicted that the yield of the 10Y Treasury bond will fluctuate between 1.6% - 1.8% in the second half of the year. After the recent correction, the 10Y Treasury bond is close to 1.75%, with high cost - effectiveness. The yield of the 10Y Treasury bond may gradually return to around 1.65%, and the yield of 5Y national - share second - tier bonds may fall below 1.9% [4][12][85] - Be bullish on long - duration sinking urban investment and capital bonds, urban investment dim - sum bonds and US dollar bonds. Strongly recommend perpetual bonds of Minsheng, Bohai, and Hengfeng Banks. Pay attention to capital bond opportunities of Tianjin Bank, Beibu Gulf Bank, and China Property Insurance [4][12][85]

Fixed Income - The report maintains a bullish outlook on the bond market, citing that the recent bond market pullback is primarily due to systematic duration reduction by bond funds and broker proprietary trading, rather than economic fundamentals [2][11][19] - Economic data from July shows significant weakness, with credit experiencing rare negative growth, indicating increased downward pressure on the economy in the second half of the year [2][10][14] - The central bank's continued easing and the expectation of low funding rates are expected to support bond carry, with a potential resumption of government bond purchases to stabilize issuance costs [11][12][19] Metals and New Materials - The report highlights a significant increase in lithium prices, with carbonate lithium rising by 15.0% to 83,000 yuan/ton and spodumene concentrate increasing by 20.98% to 940 USD/ton [3][20][23] - Copper prices are experiencing fluctuations due to Fed rate cut expectations, while aluminum prices are expected to remain stable amid rising inventories [20][21] - The cobalt market is anticipated to see price increases due to a temporary export ban from the Democratic Republic of Congo, which may lead to raw material shortages in Q4 [24] North Exchange - The North Exchange is progressing towards the "920" era, with the first nationwide test for stock code switching completed, indicating a move towards a more streamlined market structure [6][26][27] - 26 companies listed on the North Exchange reported positive mid-year results, with a median revenue growth of 17% and net profit growth of 27%, suggesting a healthy market environment [26][28] - The North Exchange market is expected to gradually become more optimistic, focusing on high-growth companies as the market stabilizes after a period of consolidation [26][28] New Consumption - The opening of the WuShang WS Jiangtun membership store has received a positive response, indicating strong consumer interest in innovative retail formats [30][31] - A strategic partnership between Rongtai Health and Meituan aims to enhance consumer health services through smart therapy solutions, reflecting a trend towards integrating technology in health and wellness [30] - The upcoming price adjustment by Laopu Gold is expected to generate significant consumer interest, potentially leading to a surge in sales [31][32] Transportation - The report on Meikewai (603713.SH) indicates strong performance in distribution services, with a 17.40% year-on-year revenue increase to 7.035 billion yuan in the first half of 2025 [34][35] - The company is expanding its logistics network and enhancing its service capabilities, particularly in the chemical distribution sector, which is expected to drive future growth [35][36] - The overall profitability of the company has improved, although there are short-term pressures on expenses due to increased sales and exchange losses [36][37]

Investment Rating - The investment rating for the company is "Accumulate" (Maintain) [6] Core Views - The ongoing integration of computing and electricity is expected to open up growth opportunities for the company [6] - The establishment of a wholly-owned subsidiary for computing and electricity integration is a strategic move to enhance operational capabilities and project acquisition in the region [8] - The company is positioned to benefit from the increasing demand for green electricity in the Guangdong-Hong Kong-Macao Greater Bay Area, particularly with the development of data center clusters [8] Financial Summary - Revenue projections for the company are as follows: - 2023: 4,107 million RMB - 2024: 4,442 million RMB (growth of 8.15%) - 2025E: 4,925 million RMB (growth of 10.87%) - 2026E: 5,155 million RMB (growth of 4.67%) - 2027E: 5,408 million RMB (growth of 4.91%) [7] - Expected net profit for the company is projected to improve significantly: - 2023: -266 million RMB - 2024: 77 million RMB - 2025E: 116 million RMB (growth of 51.07%) - 2026E: 136 million RMB (growth of 17.54%) - 2027E: 170 million RMB (growth of 25.06%) [7] - Earnings per share (EPS) forecast: - 2023: -0.25 RMB - 2024: 0.07 RMB - 2025E: 0.11 RMB - 2026E: 0.13 RMB - 2027E: 0.16 RMB [7] Market Performance - The company is actively developing new energy projects in response to the increasing electricity demand driven by data center developments in the region [8] - The company has announced a plan for a private placement and dividend commitment, which is expected to improve corporate governance and project acquisition capabilities [8] - The company aims for significant growth in net profit over the next three years, with targets set for 2025-2027 [8]

1. Report Industry Investment Rating There is no information about the industry investment rating in the report. 2. Core Views of the Report - Overall, most credit spreads of different industries and ratings narrowed to varying degrees this week, while a few industries' credit spreads widened. The credit spreads of urban investment bonds fluctuated slightly, the 3Y industrial bond credit spreads adjusted significantly, and the AA medium - long - end spreads decreased. The 3Y bank secondary perpetual bond credit spreads widened significantly, and the spreads of other maturities widened slightly [3][39]. - The report continues to expect the 10Y Treasury yield to be between 1.6% - 1.8% in the second half of the year. After the recent pull - back, the 10Y Treasury is close to 1.75%, with prominent cost - effectiveness. The report is bullish on the 10Y Treasury yield returning to around 1.65%, and the 5Y national and joint - stock secondary capital bonds falling below 1.9%. The growth of wealth management scale is beneficial to credit bonds. It is bullish on long - duration and credit - sinking urban investment and capital bonds, urban investment dim - sum bonds and US dollar bonds, strongly recommends perpetual bonds of Minsheng, Bohai, and Hengfeng Banks, and suggests paying attention to capital bond opportunities of Tianjin Bank, Beibu Gulf Bank, and China Property Insurance [3][40]. 3. Summary by Relevant Catalogs 3.1 Primary Market 3.1.1 Net Financing Scale - The net financing of credit bonds (excluding asset - backed securities) this week was 16.8 billion yuan, a decrease of 298 billion yuan compared with last week. The total issuance was 323.4 billion yuan, a decrease of 175 billion yuan, and the total repayment was 306.6 billion yuan, an increase of 122.9 billion yuan [7]. - The net financing of asset - backed securities this week was 27.8 billion yuan, an increase of 17 billion yuan compared with last week [7]. - By product type, the net financing of urban investment bonds was 35.4 billion yuan, a decrease of 40.2 billion yuan; the net financing of industrial bonds was 17.9 billion yuan, a decrease of 131.4 billion yuan; the net financing of financial bonds was - 36.5 billion yuan, a decrease of 126.4 billion yuan [7]. - In terms of issuance and redemption quantity, the issuance of urban investment bonds decreased by 21, and the redemption increased by 32; the issuance of industrial bonds decreased by 50, and the redemption increased by 39; the issuance of financial bonds decreased by 10, and the redemption increased by 14 [9]. 3.1.2 Issuance Cost - The weighted average issuance rate of AA industrial bonds increased significantly this week, while the issuance costs of other bond types were below 2.5%. The issuance rate of AA industrial bonds increased by 61BP compared with last week, mainly due to the "25 Xiangqiao Bond" [17]. 3.2 Secondary Market 3.2.1 Transaction Volume and Turnover - The trading volume of credit bonds (excluding asset - backed securities) decreased by 15.8 billion yuan compared with last week. The trading volume of urban investment bonds was 217 billion yuan, a decrease of 10.8 billion yuan; the trading volume of industrial bonds was 341 billion yuan, an increase of 9.4 billion yuan; the trading volume of financial bonds was 384.6 billion yuan, a decrease of 14.4 billion yuan. The trading volume of asset - backed securities was 18.3 billion yuan, an increase of 9.3 billion yuan [18]. - The turnover rate of credit bonds fluctuated slightly compared with last week. The turnover rate of urban investment bonds was 1.39%, a decrease of 0.07pct; the turnover rate of industrial bonds was 1.88%, an increase of 0.04pct; the turnover rate of financial bonds was 2.59%, a decrease of 0.09pct; the turnover rate of asset - backed securities was 0.5%, an increase of 0.24pct [18]. 3.2.2 Yield - The yields of credit bonds with different maturities increased to varying degrees this week, and the adjustment range of medium - long - term bonds was greater than that of short - term bonds. For example, the yields of AA, AAA -, and AAA + credit bonds within 1Y increased by 2BP, 2BP, and 1BP respectively; those of 3 - 5Y increased by 5BP; and those of over 10Y increased by 3 - 5BP [20][21]. - Taking AA + 5Y bonds of each type as an example, the yields of different types of bonds increased to varying degrees. For industrial bonds, the yields of privately - issued and perpetual industrial bonds increased by 6BP and 7BP respectively; for urban investment bonds, the yield of AA + 5Y urban investment bonds increased by 4BP; for financial bonds, the yields of commercial bank ordinary bonds and secondary capital bonds increased by 7BP and 8BP respectively; for asset - backed securities, the yield of AA + 5Y asset - backed securities increased by 6BP [22]. 3.2.3 Credit Spreads - Overall, most credit spreads of different industries and ratings narrowed to varying degrees this week, while a few industries' credit spreads widened. For example, the credit spread of AA non - bank finance widened by 6BP, and that of AA building materials narrowed by 6BP; the credit spreads of AA + electrical equipment and textile and apparel widened by 6BP and 17BP respectively, and that of AA + non - bank finance narrowed by 7BP. The fluctuations of other industries' and ratings' bond credit spreads did not exceed 5BP [2][24]. - **Urban Investment Bonds**: The credit spreads of urban investment bonds with different maturities fluctuated slightly. The 0.5 - 1Y credit spread compressed by less than 1BP, the 1 - 3Y spread widened by 1BP, the 3 - 5Y spread compressed by 1BP, the 5 - 10Y spread compressed by 1BP, and the over 10Y spread compressed by 2BP. Regionally, the fluctuations of urban investment credit spreads were within 5BP. For example, the AA credit spread in Shaanxi compressed by 5BP, and the AA + credit spread in Hebei compressed by 5BP [29][30]. - **Industrial Bonds**: The 3Y industrial bond credit spreads adjusted significantly this week, and the AA medium - long - end spreads decreased. The credit spreads of 3Y AAA -, AA +, and AA private and perpetual industrial bonds widened to varying degrees, while the 5Y and 10Y AA private and perpetual industrial bond credit spreads compressed [33]. - **Bank Capital Bonds**: The 3Y bank secondary perpetual bond credit spreads widened significantly this week, and the spreads of other maturities widened slightly [35]. 3.3 This Week's Bond Market Sentiment - 26 bond implicit ratings were downgraded this week, including 10 by Joy City Holdings Group Co., Ltd., 10 by Shanghai Waigaoqiao Group Co., Ltd., 4 by Chongqing Yerui Real Estate Development Co., Ltd., and 2 by Zhengxinglong Real Estate (Shenzhen) Co., Ltd. The "20 Huaxia EB" issued by China Fortune Land Development Holdings Co., Ltd. was extended [36]. 3.4 Investment Recommendations - The report continues to expect the 10Y Treasury yield to be between 1.6% - 1.8% in the second half of the year. After the recent pull - back, the 10Y Treasury is close to 1.75%, with prominent cost - effectiveness. It is bullish on the 10Y Treasury yield returning to around 1.65%, and the 5Y national and joint - stock secondary capital bonds falling below 1.9%. The growth of wealth management scale is beneficial to credit bonds [3][40]. - It is bullish on long - duration and credit - sinking urban investment and capital bonds, urban investment dim - sum bonds and US dollar bonds, strongly recommends perpetual bonds of Minsheng, Bohai, and Hengfeng Banks, and suggests paying attention to capital bond opportunities of Tianjin Bank, Beibu Gulf Bank, and China Property Insurance [40].

Investment Rating - The investment rating for the small metals industry is "Positive" (maintained) [5] Core Views - The report highlights that the export improvement has driven the continuous rise in praseodymium and neodymium oxide prices, with a recent increase of 4.99% to 557,500 CNY/ton. Meanwhile, dysprosium oxide and terbium oxide prices have decreased by 1.83% and 1.90%, respectively [6][13] - The report emphasizes the strong demand for rare earths, particularly in the context of the U.S. Department of Defense's investment in MP Materials and its collaboration with Apple, which is expected to support the supply of key raw materials for electronic products [6] - The report suggests that the small metals sector is experiencing a high level of activity and potential growth, particularly in the context of controlled nuclear fusion materials, which are expected to benefit from ongoing technological breakthroughs and commercialization efforts [7] Summary by Sections Rare Earths - In the last two weeks, praseodymium and neodymium oxide prices increased by 4.99% to 557,500 CNY/ton, while dysprosium and terbium oxide prices decreased by 1.83% to 1.61 million CNY/ton and by 1.90% to 6.975 million CNY/ton, respectively [6][13] Molybdenum - Molybdenum concentrate prices rose by 1.87% to 4,365 CNY/ton, and molybdenum iron (Mo60) prices increased by 1.28% to 277,000 CNY/ton [25] Tungsten - Black tungsten concentrate prices increased by 3.63% to 200,000 CNY/ton, and ammonium paratungstate prices rose by 5.26% to 300,000 CNY/ton [33] Tin - SHFE tin prices rose by 0.71% to 266,800 CNY/ton, while LME tin prices increased by 1.70% to 33,750 USD/ton [48] Antimony - Antimony ingot prices decreased by 2.67% to 182,500 CNY/ton, and antimony concentrate prices fell by 1.54% to 16,000 CNY/ton [50] Nuclear Fusion New Materials - The report notes that the commercialization of controlled nuclear fusion is accelerating, with significant advancements in technology and potential benefits for upstream materials [7]

Investment Rating - The investment rating for the pharmaceutical industry is "Positive" (maintained) [4] Core Viewpoints - The report highlights the acceleration of IO tri-antibody therapies entering clinical stages, with significant potential, particularly focusing on Shanghai Yizhong [3][19] - The pharmaceutical index rose by 3.08% from August 11 to August 15, outperforming the CSI 300 index by 0.7% [5] - The report emphasizes the importance of innovative drugs as a clear industry trend, suggesting a focus on companies with strong business development catalysts in the second half of the year [5][29] Summary by Sections Market Performance - The pharmaceutical market showed a positive trend with 279 stocks rising and 200 falling during the week, with notable gains from companies like Sino Medical (+69.13%) and Innovative Medical (+51.53%) [5][30] - The report indicates that the pharmaceutical index has outperformed the CSI 300 index year-to-date by 18.22% [29] Investment Opportunities - The report suggests focusing on innovative drugs, particularly those with low valuation and potential for marginal improvement, including companies like WuXi AppTec, Tigermed, and others [5][29] - It also highlights the increasing importance of tri-antibody therapies in cancer immunotherapy, recommending attention to specific candidates like Shanghai Yizhong's YXC-001 [19][22] Industry Trends - The report notes that the domestic innovative pharmaceutical industry has reached a scale, with traditional companies like Hengrui Medicine and Hansoh Pharmaceutical successfully transitioning to innovation [29][50] - The aging population is driving demand for chronic disease treatments, which is expected to grow steadily [29][50] - The report emphasizes the potential of AI in the pharmaceutical sector, suggesting it could unlock new growth opportunities [29][50] Suggested Focus Areas - The report recommends focusing on innovative drugs and devices, manufacturing overseas, and addressing the needs of an aging population [50][51] - Specific companies to watch include Hengrui Medicine, Shanghai Yizhong, and others in the innovative drug space [52]

Investment Rating - The investment rating for the precious metals sector is "Positive" (maintained) [4] Core Views - The precious metals sector is experiencing fluctuations, with gold prices showing a slight decline while silver prices continue to rise. Recent data indicates that London spot gold has decreased by 0.34% to $3,335.50 per ounce, while Shanghai gold has increased by 0.66% to ¥775.80 per gram. Conversely, London spot silver has risen by 3.40% to $37.73 per ounce, and Shanghai silver has increased by 3.21% to ¥9,204 per kilogram [4][9][10] - The recent volatility in gold prices is attributed to geopolitical events and changing interest rate expectations, particularly following the conclusion of the "Putin-Trump" summit and the anticipation of potential interest rate cuts by the Federal Reserve [4][5] - The report highlights that the U.S. employment market remains resilient, which may prolong the current interest rate cycle, but there is still significant policy space that could create opportunities for gold investments [5] Summary by Sections 1. Price Trends - Over the past two weeks, London spot gold has decreased by 0.34% to $3,335.50 per ounce, while Shanghai gold has increased by 0.66% to ¥775.80 per gram. London spot silver has risen by 3.40% to $37.73 per ounce, and Shanghai silver has increased by 3.21% to ¥9,204 per kilogram. Additionally, London spot palladium has decreased by 8.23% to $1,126 per ounce, while platinum has increased by 2.53% to $1,335 per ounce [9][10] 2. U.S. Economic Data and Federal Reserve Tracking - The report discusses the impact of U.S. economic data on the Federal Reserve's monetary policy, noting that July's CPI data was below expectations while PPI data exceeded expectations, creating uncertainty around potential interest rate cuts [4][5][23] 3. Positions and Trading Volume - The report provides insights into trading volumes and positions in the precious metals market, indicating a decline in holdings for both gold and silver on the Shanghai exchange [4][9][10] 4. Domestic and International Price Differences and Gold Benchmark Ratios - The report notes that the domestic gold price difference compared to international prices has increased, indicating a shift in market dynamics [56] 5. Futures Basis Situation - As of the latest data, the international gold basis (spot-futures) has increased by $22.95 to -$46.20 per ounce, while the domestic gold basis has risen by ¥0.83 to -¥2.71 per gram [63]

Investment Rating - Investment rating: Positive (maintained) [4] Core Viewpoints - The report highlights an upward revision in overseas SOFC demand, particularly driven by data center applications, presenting opportunities for domestic companies to expand internationally [4][12] - Bloom Energy, a leading global SOFC company, has seen a positive stock performance due to increased shipment expectations and significant partnerships, including a collaboration with Oracle for data center power supply [4][8] - The report emphasizes the confidence in future demand, as Bloom Energy aims to expand its production capacity from 1GW to 2GW by the end of 2026 [5][9] Summary by Sections Section 1: SOFC Demand and Opportunities - The report indicates that Bloom Energy's recent announcements and financial results have positively influenced market expectations for SOFC demand, particularly in the data center sector [4][8] - As of July 2025, Bloom Energy has completed 1.5GW of low-carbon power deployments, with over 400MW specifically in data centers [9][12] - Domestic companies that supply upstream equipment and materials for SOFC integration are recommended for investment consideration, including Sanhuan Group, Yishitong, Weichai Power, Fuan Energy, and Shenzhen Gas [12][16] Section 2: Regular Data Updates - The report includes various data updates relevant to the energy sector, such as coal prices and hydropower flow rates, which may impact the broader energy market [17][18] Section 3: Market Overview - The report provides an overview of the global SOFC market, highlighting key players and their applications across different regions, including the U.S., Europe, Japan, and South Korea [12][14]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company is a leading player in the salt industry, focusing on "salt + energy storage," with significant undervaluation of its salt cavern storage value [3] - The company has a stable profit model with low debt and high cash flow, benefiting from the decline in coal prices [3] - The company is expected to achieve substantial performance growth through its salt cavern storage projects and integrated development of salt, alkali, and calcium [3] Summary by Sections Company Overview - The company is a regional leader in salt mining, with a focus on low debt and stable profitability [5][9] - It is controlled by the Jiangsu Provincial State-owned Assets Supervision and Administration Commission [9] Salt Chemical Business - The company develops a circular economy involving salt, alkali, and calcium, with stable pricing for salt products [3][30] - In 2024, the company expects to sell 774,000 tons of salt products, 76,000 tons of alkali products, and 32,000 tons of calcium products [3][30] - The company has a unique underground cyclic soda production technology that enhances resource utilization and environmental safety [3][39] Salt Cavern Utilization - The company is entering the production phase of its gas storage projects, which are expected to contribute to profit growth [3][49] - The company plans to build two major gas storage projects with a total capacity of 81 billion cubic meters by 2030 [3][67] - The Zhangxing gas storage project is expected to generate significant profits, with a projected net profit increase of 4.1 billion yuan by 2030 [3][76] Financial Performance - The company has maintained a net profit of around 7 billion yuan from 2022 to 2025, benefiting from stable pricing and reduced costs [25] - The company's financial health is improving, with a decrease in debt ratios and stable cash flow [25][19] Market Demand - The demand for natural gas storage is increasing, particularly in Jiangsu Province, which has the highest natural gas consumption in China [56] - The company’s gas storage facilities are strategically located to meet the seasonal demand fluctuations in the region [67][49]

Investment Rating - The investment rating for the non-ferrous metals industry is "Positive" (maintained) [4] Core Views - The report highlights that copper prices are experiencing fluctuations due to expectations of interest rate cuts by the Federal Reserve, with domestic copper inventories showing a slight increase [5] - Aluminum prices are expected to remain stable amid rising inventories, while lithium prices are on the rise due to increased demand and supply disruptions [5] - Cobalt prices are anticipated to rise as raw material inventories are expected to be consumed faster due to export bans from the Democratic Republic of Congo [5] Summary by Sections 1. Industry Overview - The non-ferrous metals sector has shown a strong performance, with the Shenwan non-ferrous index rising by 3.62%, outperforming the Shanghai Composite Index by 1.92 percentage points [11] - The report notes significant price movements in various metals, with copper and lithium showing notable increases [11][20] 2. Industrial Metals Copper - Copper prices have fluctuated, with LME copper up by 0.31% and SHFE copper up by 0.73%. Domestic copper inventories have increased by 5.4% [25] Aluminum - Aluminum prices are expected to remain stable, with SHFE aluminum rising by 0.34% and inventories increasing [36] Lead and Zinc - Lead prices have decreased slightly, while zinc prices have shown minor increases. The report notes changes in inventory levels for both metals [48] Tin and Nickel - Tin prices have decreased, while nickel prices have remained stable. The profitability of nickel enterprises has improved [61] 3. Energy Metals Lithium - Lithium prices have surged, with lithium carbonate up by 15.02% to 82,700 yuan/ton, and spodumene concentrate up by 20.98% to 940 USD/ton [77] Cobalt - Cobalt prices have shown a slight decline domestically, but the report anticipates a potential increase due to supply constraints from export bans [89]