JLMAG (06680) rose more than 7%. As of writing, the stock was up 7.68%, trading at HK$20.74, with a turnover of HK$66.184 million. On the news front, rare earth prices have recently stabilized and begun to rebound, with praseodymium-neodymium oxide prices rising above 750,000 yuan per ton. Following earlier public bearish views from some manufacturers, downstream purchasing enthusiasm has significantly increased recently. The market expects that inventory levels at major producers have fallen to below one month, which could provide substantial support for prices. SDIC Securities believes that Baotou Steel is expected to raise rare earth concentrate prices in early April, and the energy crisis may catalyze stronger-than-expected domestic and international demand. A new round of inventory replenishment could begin in the second quarter, with optimism for a rise in the average rare earth price for 2026. Sinolink Securities stated that, looking at the trend since the beginning of the year, the price center has been continuously rising. The bank suggests this may be closely related to supply-side policy documents issued for 2024-2025, as supply-side reforms in the industry continue to advance. Full-year exports for 2025 decreased by 1% year-on-year, while exports from the beginning of 2026 have increased significantly, indicating that there remains substantial inventory replenishment demand overseas. The rare earth sector is expected to continue evolving with both valuation and earnings rising. 2026 is also seen as a critical year for resolving competition among key players in the industry.
Comments