CITIC Securities: The next major commodity after gold and silver that is likely to be targeted is copper.

CICC research report believes that last week gold and silver showed strong performance, while other risk assets were relatively weak. In 2025, among major asset classes, gold and silver represent precious metals leaving others far behind. The precious metal market in 2025 can be divided into three phases: in the first quarter, trading was affected by Trump's tax increase; from April to July, global disorder concerns were triggered by comprehensive tariffs; and from August until now, trading was influenced by the loose monetary policy of the Federal Reserve. Unlike other historical periods, the current American economy implies three long-term factors: technological revolution, fiscal expansion, and supply chain decoupling, causing differentiation between American growth and inflation, unprecedented complexity in economics and politics. Facing the midterm elections, the independence of the Federal Reserve had to be set aside, even though the inflation pressure remained high, the United States still chose to loosen monetary policy. As a result, there are expectations of continued loose monetary policy from the Federal Reserve, with the yield spread of long and short term US Treasury bonds widening and precious metals showing strong performance. Looking ahead to 2026, we need to pay attention to the global economic trends after the return of currency and fiscal policies. The next major commodity to watch after gold and silver should be copper.