CITIC Securities: US-Iran conflict erupts, driving up precious metals and aluminum.

The research report of CITIC Securities stated that after the end of the Spring Festival holiday, with the exception of gold and tin, which have risen significantly driven by geopolitical factors, domestic non-ferrous metals are waiting for further guidance from downstream consumption in a volatile manner. On the one hand, downstream demand is gradually returning after the 15th day of the first lunar month, and the turning point of inventory will become clear; on the other hand, with the outbreak of the US-Iran conflict, the safe-haven sentiment is expected to push precious metal prices higher. Approximately 7 million tons of electrolytic aluminum, especially around 800,000 tons from Iran, will face threats in both raw material input and finished product exports, while global aluminum inventories have weak resistance to shocks, leading to an upward trend in aluminum prices.