Core view
The 14th five year plan] for the development of raw material industry was issued, and the bottom line of only increasing but not decreasing was strictly observed
This week, the Ministry of industry and information technology and other departments issued the “14th five year plan” for the development of raw material industry, proposing that by 2025, the production capacity of key raw materials and bulk products such as crude steel and cement will only be reduced but not increased, and the capacity utilization rate will remain at a reasonable level. At the same time, it is proposed that the carbon emission of electrolytic aluminum will be reduced by 5%. We believe that the proposal of the document once again strictly restricts the future total production capacity of some bulk commodities, and the carbon emission reduction target of electrolytic aluminum is good for the recycled aluminum industry. We recommend paying attention to Ye Chiu Metal Recycling (China) Ltd(601388) , Henan Mingtai Al.Industrial Co.Ltd(601677) , Aluminum Corporation Of China Limited(601600) .
Lithium carbonate prices continued to rise, and the short-term tight supply pattern was maintained
This week, battery grade lithium carbonate rose 9.80% to close at 280000 yuan / ton; Industrial grade lithium carbonate rose 7.14% to close at 255000 yuan / ton; Lithium hydroxide rose 8.49% to close at 229916 yuan / ton, and the price of cobalt remained stable. Considering the impact of Salt Lake maintenance in winter and the epidemic situation in South Africa, the short-term tight supply pattern of lithium and cobalt may be difficult to change. It is recommended to pay attention to Tianqi Lithium Corporation(002466) , Ganfeng Lithium Co.Ltd(002460) and Zhejiang Huayou Cobalt Co.Ltd(603799) .
The price of industrial products fluctuated in a narrow range this week, and the European energy crisis continued to affect the electrolytic aluminum production capacity
LME copper rose 1.95% this week to close at US $9755.00/ton; LME aluminum fell – 0.85% to close at US $2813 / ton. Copper on Shanghai Futures Exchange rose 0.85% to close at 70120 yuan / ton this week; Aluminum rose 1.09% to close at 20420 yuan / ton. The European energy crisis continues to affect the local electrolytic aluminum supply, and the inventory of copper, aluminum and other metals in China is still low. It is recommended to pay attention to Tongling Nonferrous Metals Group Co.Ltd(000630) , Zijin Mining Group Company Limited(601899) .
The US job market continued to recover and gold prices rose slightly
Last week, the number of initial jobless claims in the United States was 198000, up from 205000. It is expected that 208000. The U.S. job market continues to recover. This week, spot gold in London rose 1.52% to close at US $1829.24/oz, while the US dollar index fell – 0.17% to close at 95.97; COMEX gold rose 1.04% to close at US $1828.60/oz and Comex Silver Rose 1.81% to close at US $23.35/oz this week. We expect that precious metals may continue to fluctuate in a narrow range in the short term.
Risk tip: Overseas outbreaks are repeated, and the global economic recovery is less than expected
