Investment Rating - The report maintains a long-term positive outlook on non-ferrous resource stocks and suggests increasing positions during market corrections [1] Core Insights - The U.S. has initiated a strategic reserve plan for critical minerals, indicating a strong intent for resource protection [1] - The report highlights a significant decline in leading stocks, approximately 20%, presenting a rare opportunity for accumulation [1] - Focus is directed towards small metals such as tantalum, indium, tungsten, and rhenium, alongside a mid-to-long-term interest in gold, silver, copper, aluminum, rare earths, tungsten, uranium, tantalum, lithium, cobalt, magnesium, and nickel [1] Industry Overview - The report notes that the domestic inventory of electrolytic aluminum ingots reached 836,000 tons, an increase of 54,000 tons month-on-month, as downstream sectors enter a traditional off-season [2] - The aluminum price fluctuated between 23,000 to 24,000 yuan/ton, with expectations of price pressure if inventory continues to rise [2] - The report emphasizes the importance of monitoring the inventory levels of aluminum post-Spring Festival, as sustained increases could impact prices [2] Performance Metrics - The non-ferrous metal industry index experienced a decline of 8.51%, ranking 31st among sectors [3] - The report indicates a significant performance disparity among sub-sectors, with energy metals showing a slight increase of 0.02%, while industrial metals faced a decline of 17.38% [3] - The report highlights the best-performing stock, Western Materials, with a weekly increase of 12.19%, and the worst performer, Hunan Silver, with a decline of 32.56% [3] Price Movements - Tungsten prices surged by 13.53% due to tight supply and increased demand from downstream steel enterprises [3] - Silver prices dropped by 32.47%, attributed to profit-taking after a previous increase of over 60% [3] - The report anticipates continued upward pressure on copper prices, supported by increased procurement interest at the 100,000 yuan price level [3][4] Small Metals Focus - Lithium prices are expected to face further declines, but a tight balance or slight deficit is anticipated in 2026, which may support price recovery [6] - Tungsten prices are projected to maintain a long-term upward trend, with a focus on companies like China Tungsten High-Tech and Xiamen Tungsten [6] - Nickel prices are under short-term pressure, but potential supply constraints from Indonesia may provide medium to long-term support [4][6]