Caixin Futures: Geopolitical conflicts impact the non-ferrous metals sector, precious metals under pressure, lithium carbonate breaks support and moves downward

(1) Regarding Shanghai copper, geopolitical conflicts have triggered risk aversion, with funds flowing preferentially into the US dollar, causing copper prices to resonate and run weakly. Global copper inventories remain high, supply is becoming more abundant, and the slow recovery in demand provides limited support. The main contract price has returned to the 101,000-102,500 yuan/ton range, with short-term expectations of range-bound fluctuations. (2) Regarding zinc, the market is concerned that rising oil prices may delay interest rate cuts, and the strengthening US dollar is putting pressure on zinc prices. Due to the situation in the Middle East, European natural gas prices have surged, raising the risk of reduced zinc smelting capacity. Zinc prices continue to run weakly. (3) Regarding precious metals, risk-averse funds are flowing preferentially into the US dollar rather than gold, causing precious metal prices to be under pressure and run weakly. If the conflict escalates and affects the stability of the global financial system, gold may regain buying interest. It is expected that gold prices will fluctuate in the short term. (4) Regarding lithium carbonate, geopolitical conflicts have impacted energy storage projects in the Middle East, causing short-term disruptions in demand rhythm; in the long term, rising energy prices will boost global energy storage demand. The downward trend in the market is clear, and caution is needed against the risk of inertia-driven declines. It is recommended to remain on the sidelines.