Core Viewpoint - The domestic commodity futures market experienced a general increase on January 12, with significant gains in metals and energy sectors driven by geopolitical tensions and expectations of monetary easing from the Federal Reserve [1][3]. Group 1: Metal Sector - The lead in the commodity market was taken by silver, which surged by 14.42%, while lithium carbonate and tin both hit the daily limit with increases of 9.00% and 8.00% respectively [1][3]. - Other metals such as copper, palladium, platinum, and nickel also saw gains exceeding 3% to 5%, with gold rising by 2.57% and reaching a historical high above 1030 yuan per gram [3]. - The strong demand from AI and new energy sectors, coupled with supply constraints and geopolitical disturbances, continues to drive investment in metals, particularly silver, which has been in a supply deficit for five consecutive years [3]. Group 2: Energy Sector - The energy and chemical sectors also benefited from geopolitical concerns, with WTI crude oil opening strong above $59 per barrel due to fears of U.S. intervention in Iran and other geopolitical tensions [4]. - Despite the rebound in oil prices, analysts caution that the fundamental oversupply situation in the oil market remains unchanged, which could lead to a return to weaker prices if geopolitical premiums diminish [4]. - The chemical market saw broad increases, with styrene rising over 3% and other products like polypropylene and PX also gaining more than 1% [5]. Group 3: Silicon Sector - The polysilicon market faced downward pressure, closing down 2.89% due to regulatory concerns and the cancellation of export tax rebates, shifting market sentiment from strong expectations to a weaker reality [6]. - The regulatory environment is expected to change the dynamics of polysilicon production, moving towards market competition driven by technological advancements rather than prior industry coordination [6]. Group 4: High Sulfur Fuel Oil - Despite the overall strength in oil prices, high sulfur fuel oil saw a decline of 1.32% due to supply-side pressures, although demand for marine fuel oil is gradually recovering [7]. - The entry of Venezuelan heavy crude oil into the global market is anticipated to exert downward pressure on the price differentials for heavy sulfur crude and high sulfur cracking margins [7].