The nonferrous metals sector was active in early trading on Tuesday (April 14). Huabao Nonferrous Metals ETF (159876), the largest and most liquid ETF tracking its underlying index*, saw its intraday gain climb to 1.84%, and is currently up 1.2%. Over a longer period, its underlying index has accumulated a gain of 14.45% since March 24, significantly outperforming major broad-based indices such as the沪深300 (5.16%) and the Shanghai Composite Index (4.60%). Observing the daily K-line chart, the index appears to be forming a pattern of oscillating upward steps.
Statistical data period: March 24, 2026 - April 13, 2026. The gains/losses of the CSI Nonferrous Metals Index over the past five full calendar years are as follows: 2021: 35.89%; 2022: -19.22%; 2023: -10.43%; 2024: 2.96%; 2025: 91.67%. The composition of the index's constituent stocks is adjusted periodically according to its compilation rules, and its historical backtested performance is not indicative of its future results.
Among the constituent stocks, Tengyuan Cobalt led gains, rising over 17%, followed by寒锐钴业, which gained more than 7%. Other advancing stocks included盛新锂能,天山铝业,西部矿业, and锡业股份.
On the industry front, London aluminum prices surged to a four-year high, driven by a dual impact of US military blockades of shipping lanes and production halts in the Middle East. Huatai Securities estimates global primary aluminum supply deficits of -949,000 tonnes and -389,000 tonnes for 2026 and 2027, respectively. Due to the inherent characteristics of electrolytic cells, production declines are rigid, and supply cannot recover quickly. Once geopolitical concerns ease, the upward potential of aluminum prices is expected to be released.
On the macroeconomic front, US-Iran negotiations have taken another dramatic turn. Former President Trump stated that Iran desires an agreement, and the next round of talks may be held in Islamabad on the 16th. BOC Securities believes the core variable for the market is currently the geopolitical situation in the Strait of Hormuz. If US-Iran negotiations remain deadlocked, persistently high energy prices could suppress demand for nonferrous metals while increasing recessionary fears, potentially leading to relatively stronger performance for precious metals. Conversely, if negotiations succeed and energy prices decline, easing inflationary pressures could create conditions for a Federal Reserve policy shift, which would be beneficial for the nonferrous metals sector.
The investment opportunity in nonferrous metals has arrived, with a 'super cycle' appearing unstoppable. Huabao Nonferrous Metals ETF (159876) and its feeder funds (Class A: 017140, Class C: 017141) track an index that comprehensively covers industries including copper, aluminum, gold, rare earths, and lithium, spanning different phases of the economic cycle such as precious metals (hedging), strategic metals (growth), and industrial metals (recovery). This broad coverage allows for better capture of the sector's overall beta trends. Furthermore, this ETF is a margin trading security, making it an efficient tool for gaining exposure to the nonferrous metals sector.
As of the end of March, Huabao Nonferrous Metals ETF (159876) had a latest size of 1.891 billion yuan, with an average daily turnover exceeding 100 million yuan over the past month. Among the three ETF products in the market tracking the same underlying index, it ranks first in both size and liquidity.
Note: Huabao Nonferrous Metals ETF (159876) was previously known as有色龙头ETF in the secondary market.
Risk Warning: Huabao Nonferrous Metals ETF passively tracks the CSI Nonferrous Metals Index. The index's base date is December 31, 2013, and it was launched on July 13, 2015. The composition of the index's constituent stocks is adjusted periodically according to its compilation rules, and its historical backtested performance is not indicative of its future results. The mention of index constituents herein is for illustrative purposes only; descriptions of individual stocks do not constitute investment advice in any form, nor do they represent the holdings or trading动向 of any fund managed by the management company. The fund manager assesses this fund's risk level as R3-Medium Risk, suitable for investors with a Balanced (C3) or higher risk profile. Suitability matching opinions should be based on the selling institution's assessment. Any information appearing in this content (including but not limited to individual stocks, commentary, forecasts, charts, indicators, theories, and any form of expression) is for reference only, and investors are responsible for any independent investment decisions. Furthermore, any views, analysis, or forecasts herein do not constitute investment advice of any kind to the reader, and no liability is accepted for any direct or indirect losses arising from the use of this content. Fund investment carries risks. The past performance of a fund is not indicative of its future results. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Investors should exercise caution when investing in funds.
A MACD golden cross signal has formed, and these stocks are performing well.
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