Investment Rating - The report suggests prioritizing investments in gold and silver due to their strong financial attributes, followed by copper and aluminum which have strong demand attributes [1][8]. Core Insights - The current economic environment, characterized by increased expectations of interest rate cuts in the U.S., favors metals with strong financial properties like gold and silver, while demand-driven metals like copper and aluminum are secondary choices [1][8]. - Gold's price is primarily influenced by its financial attributes rather than supply and demand, with significant price increases driven by geopolitical factors and central bank purchases [6][11]. - Lithium has transitioned from a strategic minor metal to an industrial metal due to the surge in demand from the electric vehicle sector, presenting short-selling opportunities post-2022 [9][10]. - Strategic minor metals such as rare earths and tungsten are highly sensitive to policy changes and international political dynamics, leading to significant price volatility [3][4]. Summary by Sections Supply and Demand Analysis - The "3% rule" in the commodity market indicates that a supply gap of 3% can lead to significant price increases, as seen in the rapid growth of the new energy vehicle and photovoltaic industries [17][18]. - Copper is entering a super cycle driven by new demands from AI, re-industrialization in the West, and safety stockpiling due to supply chain disruptions [19]. Financial and Policy Attributes - The report emphasizes the importance of understanding the interplay between supply, demand, and monetary policies in shaping investment strategies in the metals market [12][15]. - In times of economic downturn, monetary and fiscal policies stimulate inventory replenishment, leading to market rotations favoring gold, silver, copper, and aluminum sequentially [2][16]. Investment Opportunities - The report identifies short-selling carbonated lithium as a notable investment opportunity, highlighting the role of futures markets in risk management and price discovery [10]. - The increasing purchases of physical gold by businesses and central banks, driven by a shift towards financial security, have led to unprecedented increases in gold prices [11].