On December 1, as of 14:01, the nonferrous metals sector showed strong performance, with the CSI Nonferrous Metals Index rising 2.58%. Among the constituent stocks, Jiangxi Copper Company Limited (600362) led with a 7.88% surge, followed by Baiyin Nonferrous Group Co.,Ltd. (601212) at 7.32% and Xingye Silver & Tin at 7.18%. The popular Leading Nonferrous Metals ETF (159876) saw an intraday price increase of 2.49%, with trading volume reaching 34.44 million yuan.
Analysts point out that the 2025 Geneva Agreement between China and the U.S. has improved macroeconomic expectations. Supply chain disruptions caused by U.S. tariffs, China's countermeasures, and resource export controls by producing nations, coupled with liquidity easing amid the Fed's rate-cutting cycle, have driven sustained growth in nonferrous metals prices and industry performance. This confirms the sector's entry into a new upward cycle. In 2026, these factors are expected to continue pushing up commodity prices and boosting profitability for nonferrous metals companies, extending the sector's bullish trend.
In precious metals, further Fed rate cuts and potential balance sheet expansion will likely drive continued gold purchases by global ETFs. Accelerating U.S. debt growth and potential erosion of Fed independence may exacerbate credit concerns, fueling global de-dollarization efforts. Central banks and private investors may increase gold allocations in their portfolios.
For industrial metals, persistent copper mining disruptions constrain effective supply, while limited new global copper projects are expected. Macroeconomic tailwinds are easing demand pressure from traditional sectors, while structural demand growth comes from energy transition and data center applications.
In energy metals, the Democratic Republic of Congo, a dominant global supplier, has implemented annual export quotas. Premiumization of new energy vehicles, recovery in consumer electronics, and increased military/strategic stockpiling in countries like the U.S. may widen supply-demand gaps in 2025-2026.
For rare metals, traditional demand from rare-earth permanent magnets and new energy remains stable, while emerging demand from humanoid robots and low-altitude economy sectors grows. China has tightened rare-earth supply controls, further consolidating the industry.
[Cyclical Upswing Arrives, "Nonferrous Bull" May Continue] Different metals show varying cycles, drivers, and timing. For broad exposure to the sector's beta, the Leading Nonferrous Metals ETF (159876) and its feeder funds (Class A: 017140, Class C: 017141) provide diversified coverage across copper, aluminum, gold, rare earths, and lithium, reducing single-commodity risk.
Risk Disclosure: The ETF tracks the CSI Nonferrous Metals Index (930708.CSI), with base date 2013.12.31 and launch date 2015.7.13. Index constituents may change per rules; past performance doesn't indicate future results. Constituent stock mentions are illustrative, not investment advice or indicative of fund holdings. The fund is rated R3-medium risk, suitable for balanced (C3) or higher risk-profile investors. All information herein is for reference only; investors bear full responsibility for decisions. No content constitutes investment advice, and no liability is assumed for direct/indirect losses. Past performance doesn't guarantee future results; other fund performance doesn't indicate this fund's returns. Invest with caution.
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