Group 1 - The non-ferrous metals industry is expected to see an optimization in its industrial structure due to the upcoming growth stabilization work plan, which will promote the optimization of supply-side capacity for metals like copper and aluminum, eliminate outdated capacity, and enhance the efficiency of resource, smelting, and demand linkages [1] - Copper prices are anticipated to rise in the medium term due to rigid supply, low inventory levels, and a weakening dollar, while aluminum prices may also see significant elasticity due to supply rigidity and global low inventory levels [1] - The long-term outlook for gold is positive due to ongoing macroeconomic uncertainties overseas and a weakening dollar, which highlights gold's safe-haven attributes [1] Group 2 - The non-ferrous 60 ETF (159881) tracks the CSI Non-Ferrous Index (930708), which is compiled by the China Securities Index Company and reflects the overall performance of representative listed companies in the non-ferrous metals sector, including copper, aluminum, and lead-zinc [1] - Investors without stock accounts can consider the Guotai CSI Non-Ferrous Metals ETF Initiated Link A (013218) and Guotai CSI Non-Ferrous Metals ETF Initiated Link C (013219) [1]

Core Viewpoint - The global macro environment remains volatile, with industrial metal prices, particularly copper and aluminum, continuing to fluctuate. However, the introduction of a series of policies in the second half of 2024 is expected to improve domestic macro sentiment and potentially boost upstream industrial metal demand due to recovering terminal demand and supply constraints [1]. Summary by Relevant Sections Industrial Metals - Copper prices are under pressure from fluctuating macro policies, but tightening copper concentrate supply and declining smelting processing fees provide strong medium to long-term price support [1]. - The aluminum supply chain's vulnerability has been highlighted by recent disruptions in Guinea's bauxite supply, indicating that integrated layouts will become a development direction for the industry [1]. Market Indicators - The manufacturing PMI rose by 0.5 percentage points to 49.5% in May, indicating improved market expectations and a potential recovery in terminal demand for industrial metals [1]. - The strategic metal tungsten has reached a historical price high, suggesting a potential revaluation of strategic metals in the context of countries pursuing supply chain autonomy [1]. Investment Products - The Nonferrous 60 ETF (159881) tracks the CSI Nonferrous Index (930708), which includes representative listed companies in the nonferrous metal industry from the Shanghai and Shenzhen markets, covering various sub-industries such as copper, aluminum, lead, zinc, and rare metals [1]. - The CSI Nonferrous Index reflects the overall performance of the nonferrous metal industry in the A-share market, with its constituent stocks exhibiting significant cyclicality and sensitivity to commodity prices [1].