The nonferrous metals sector surged to lead gains in the market today (April 29). As of the time of writing, the sector attracted over 18 billion yuan in net inflows from main funds, ranking first among the 31 primary Shenwan industries. China Northern Rare Earth (Group) High-Tech Co., Ltd. received nearly 4 billion yuan in net main fund inflows, securing the second position on the A-share capital attraction ranking.
Among popular ETFs, the largest and most liquid* Huabao Nonferrous Metals ETF (159876), which tracks the same index, saw its intraday price surge by 4.05%, currently up 3.86%. Data from the Shenzhen Stock Exchange shows that the ETF has accumulated net inflows of 13.42 million yuan over the past five days, indicating strong investor confidence in the sector's future performance and active positioning.
In terms of constituent stocks, rare earth leaders led the gains significantly. China Rare Earth and China Northern Rare Earth hit the daily limit up, Shenghe Resources rose over 9%, and Zhongxi Nonferrous Metals gained more than 7%. Lithium industry leader Yongxing Materials also reached the daily limit, while gold leader Hengbang Co., Ltd. advanced nearly 8%.
On the news front, China Northern Rare Earth disclosed its 2026 first-quarter report, showing robust growth. During the reporting period, the company achieved operating revenue of 11.859 billion yuan, a year-on-year increase of 27.69%. Net profit attributable to shareholders reached 918 million yuan, surging 113.12% compared to the same period last year. The company attributed the performance growth primarily to higher average prices of key rare earth products, such as praseodymium-neodymium products, in the first quarter, which boosted gross profit.
Recently, several rare earth companies have released their first-quarter reports, with many showing doubled profits. China Rare Earth reported revenue of 821 million yuan, up 12.8% year-on-year, with net profit attributable to shareholders rising 90.8% to 139 million yuan. Adjusted net profit increased 108.8% to 138 million yuan. Zhongxi Nonferrous Metals posted revenue of 1.535 billion yuan, up 1.90% year-on-year, while net profit attributable to shareholders soared 261.55% to 171 million yuan.
Notably, overnight gains in U.S.-listed rare earth and critical metals companies provided positive global momentum for A-shares. Additionally, data released earlier today by the Ministry of Natural Resources confirmed that China ranks first globally in both rare earth reserves and production, reinforcing the strategic advantage of the industry chain. The latest phase of China’s mineral exploration breakthrough initiative has achieved significant results, with 14 minerals, including rare earths, ranking first in global reserves by the end of the "14th Five-Year Plan" period, substantially enhancing resource self-sufficiency and laying a solid foundation for the long-term stable development of the rare earth industry.
CITIC Securities pointed out that global rare earth supply growth is slowing, strengthening the logic of supply rigidity. Humanoid robots and the low-altitude economy are expected to become new growth drivers for rare earth permanent magnet demand. In 2026, the global rare earth supply-demand gap may continue to widen, providing long-term support for prices.
Looking ahead, is there further upside for nonferrous metals? CITIC Securities believes that both metal prices and stock performance retain strong momentum, supported by supply disruptions, robust demand in certain segments, and inventory-building activities. The firm sees value in allocating to precious metals, industrial metals, battery metals, and strategic metals.
[Nonferrous Metals Sector Gains Momentum, "Super Cycle" Appears Unstoppable] Huabao Nonferrous Metals ETF (159876) and its feeder funds (Class A: 017140, Class C: 017141) track an index that comprehensively covers industries such as copper, aluminum, gold, rare earths, and lithium, spanning different cycles including precious metals (safe-haven), strategic metals (growth), and industrial metals (recovery). This broad coverage allows investors to better capture beta opportunities across the sector. Additionally, the ETF is a margin trading target, serving as an efficient tool for one-click 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 average daily turnover exceeding 100 million yuan over the past month. Among the three ETFs tracking the same index in the market, it leads in both size and liquidity.
*Note: Huabao Nonferrous Metals ETF (159876) was previously known as the Leading Nonferrous Metals ETF in the market.
Risk Warning: Huabao Nonferrous Metals ETF passively tracks the CSI Nonferrous Metals Index, which has a base date of December 31, 2013, and was published on July 13, 2015. The index constituents are adjusted according to its compilation rules, and its historical performance does not indicate future results. The constituent stocks mentioned herein are for illustrative purposes only; individual stock descriptions do not constitute investment advice in any form and do not represent the holdings or trading trends of any funds managed by the fund manager. The fund manager assesses the fund’s risk level as R3-medium risk, suitable for balanced (C3) and above investors. Suitability matching opinions should be based on the sales institution. Any information appearing in this article (including but not limited to stocks, comments, 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 to readers in any form, and no liability is accepted for any direct or indirect losses arising from the use of this content. Fund investment carries risks; past performance does not guarantee future results, and the performance of other funds managed by the fund manager does not constitute a guarantee of the fund’s performance. Invest with caution.
MACD golden cross signals have formed, indicating strong upward momentum for these stocks.
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