Sou Hu Cai Jing·2025-12-19 10:24Core Viewpoint - The A-share market has shown significant recovery, with over 4,400 stocks rising, particularly in the non-ferrous metals sector, where the Non-Ferrous 50 ETF (159652) increased by 1.76% [1] Non-Ferrous Metals Sector Performance - The majority of the Non-Ferrous 50 ETF constituent stocks experienced gains, with notable increases such as Yun Aluminum Co. (000807) rising by 6.48%, and other companies like Northern Rare Earth, Huayou Cobalt, and China Aluminum seeing increases of over 3% [3] - The top ten constituent stocks of the Non-Ferrous 50 ETF include companies like Sanfour New Materials, Jialong Aluminum, and Northern Rare Earth, with varying performance metrics [4] Domestic and International News Impact - A significant domestic discovery of a giant underwater gold mine in Laizhou City, with proven gold reserves exceeding 3,900 tons, accounting for approximately 26% of the national total [5] - Internationally, U.S. inflation data showed a lower-than-expected increase in the core Consumer Price Index (CPI), leading to heightened expectations for Federal Reserve interest rate cuts, which positively influenced global commodity markets [6] Characteristics and Importance of Non-Ferrous Metals - Non-ferrous metals encompass all metals excluding ferrous metals, including precious metals (gold), industrial metals (copper, aluminum), energy metals (lithium), and rare earths, playing a crucial role in the economy [8] - Copper is highlighted as a key industrial metal, often referred to as the "doctor of the economy," and is increasingly recognized as essential in the AI era [9] Investment Outlook for Precious Metals - The outlook for gold remains positive due to factors such as declining real interest rates, ongoing central bank purchases, and the potential for a global debt crisis reshaping economic order [12][14] - Predictions indicate that gold prices could exceed $4,500 per ounce in the first quarter of next year, with long-term forecasts suggesting prices could reach $5,000 to $6,000 by 2026 [15] Copper Market Dynamics - The copper market is characterized by both supply rigidity and vulnerability, with increasing demand driven by traditional and emerging sectors, including AI and renewable energy [16] - Forecasts indicate a growing global copper supply-demand gap, with prices expected to rise significantly, potentially reaching $12,000 per ton by the end of the year [19] Non-Ferrous 50 ETF Advantages - The Non-Ferrous 50 ETF (159652) offers comprehensive exposure to various metal sectors, with a high concentration of copper (31%) and gold (14%), making it a leading choice for investors [21] - The ETF has demonstrated superior performance with a cumulative return leading its peers, driven by earnings rather than valuation expansion, indicating a strong investment experience [22][23]