》[Live] Research and Analysis on Macroeconomy, Electric Power, Infrastructure, Real Estate, and PV Markets; Outlook on Copper and Aluminum Prices; Insights into Cable Technology Trends SMM News on May 22: Metal Market: As of the daytime close, domestic market base metals generally declined, with only SHFE lead rising, up 0.48%. SHFE nickel fell 0.7%, SHFE tin dropped 0.48%, and the rest of the metals saw slight declines, with alumina falling 2.01%. In addition, the main lithium carbonate contract fell 1.65%, the main polysilicon contract rose 1.09%, the main silicon metal contract increased 0.25%, and the main European container shipping contract surged 2.73%. The ferrous metals series generally declined, with iron ore falling 1.24%, HRC dropping 0.75%, and rebar decreasing 0.42%. In the coking coal and coke sector, coking coal fell 4.01%, and coke dropped 1.81%. In the overseas market, as of 15:03, overseas market base metals generally rose, with only LME copper falling 0.04%. LME lead increased 0.76%, LME tin rose 0.52%, and LME aluminum gained 0.22%, with the rest of the metals seeing slight fluctuations in their increases. In precious metals, as of 15:03, COMEX gold rose 1.04%, and COMEX silver increased 0.35%. Domestically, SHFE gold rose 0.1%, and SHFE silver fell 0.37%. According to Jordan Roy-Byrne, author of CMT, MFTA, and the book "Gold and Silver: The Greatest Bull Market Has Begun," gold is in the early stages of a strong, long-term bull market, with its price potentially rising to $4,500, while silver prices may also exceed $100. Market conditions as of 15:03 today 》Click to view SMM Market Dashboard Macro Front Domestic Aspects: [Ministry of Commerce: Online Sales of Digital Products Increased by 8.4% from January to April, with Smart Robots and Smart Home Systems Rising by 87.6% and 16%] The head of the E-commerce Department of the Ministry of Commerce introduced the development of China's e-commerce from January to April 2025. Digital consumption growth accelerated, with online sales of digital products increasing by 8.4% according to e-commerce big data monitoring, among which smart robots and smart home systems rose by 87.6% and 16%, respectively. Products under the trade-in policy grew rapidly, with online sales of 15 categories of home appliances and digital products increasing by 11.5%, among which three expanded categories of digital products, including mobile phones, rose by 18.5%. Service consumption led the growth, driven by factors such as policy efforts, supply optimization, and holiday economy, with key monitored online service consumption increasing by 12.1%, among which online entertainment and online tourism rose by 31.9% and 25.4%, respectively. [The People's Bank of China Net Injected 36 Billion Yuan in the Open Market] The People's Bank of China conducted 142.5 billion yuan of 7-day reverse repo operations today, with an operating interest rate of 1.40%, unchanged from the previous rate. As 106.5 billion yuan of 7-day reverse repo operations matured today, a net injection of 36 billion yuan was achieved. ► The central parity rate of the RMB against the US dollar in the inter-bank foreign exchange market on May 23 was 7.1919 yuan per US dollar. US dollar: As of 15:03, the US dollar index fell by 0.3%. The number of initial jobless claims in the US for the week ending May 17 was 227,000, compared to market expectations of 230,000 and 229,000 the previous week. The number of initial jobless claims in the US fell by 2,000 last week to a four-week low, indicating that the job market remains healthy despite uncertainties brought about by trade policies. However, the number of continuing claims rose, making it increasingly difficult for the unemployed to find new jobs. The US manufacturing PMI rose to a three-month high of 52.3 in May. The flash services PMI stood at 52.3, hitting a two-month high. The index for new orders from enterprises rose to 52.4 from 51.7 in April, mainly driven by the manufacturing sector. The index measuring the prices paid by enterprises for inputs rose to 63.4 from 58.5 in April, reaching its highest level since November 2022. Federal Reserve Governor Waller stated that the Fed would not purchase bonds in primary auctions, as hard data indicated that the economy was performing quite well and had not yet shown clear signs of tariff impacts. Waller still believed that tariffs would lead to one-time price increases, and said that if tariffs were lowered, the Fed was expected to cut interest rates in the second half of 2025. (Wenhua Comprehensive) Macro: Today, data such as the revised quarter-on-quarter seasonally adjusted GDP growth rate for Germany in Q1, the revised year-on-year non-seasonally adjusted GDP growth rate for Germany in Q1, the month-on-month seasonally adjusted retail sales growth rate for the UK in April, the month-on-month seasonally adjusted core retail sales growth rate for the UK in April, the revised month-on-month building permits growth rate for the US in April, the revised annualized total building permits for the US in April, the month-on-month retail sales growth rate for Canada in March, the month-on-month core retail sales growth rate for Canada in March, and the annualized total of seasonally adjusted new home sales for the US in April will be released. In addition, it is worth noting that FOMC permanent voter and New York Fed President Williams will deliver a keynote speech at a seminar on monetary policy implementation; FOMC voters for 2025, St. Louis Fed President Musalem and Kansas City Fed President Schmid, will participate in a fireside chat in Northwest Arkansas hosted by the St. Louis Fed to discuss the economy and monetary policy. Crude oil: As of 15:03, oil prices in both markets fell simultaneously, with US crude oil down by 0.82% and Brent crude oil down by 0.79%. OPEC's production policy moves remain the core variable driving oil price trends. At this stage, OPEC member countries are discussing whether to agree to another round of oversized production increases at the June 1 meeting, which could be the third consecutive month that the organization adds extra oil production to the market. Delegates stated that a 411,000 barrel-per-day (bpd) increase in daily production in July was one of the options under discussion, but no final agreement had been reached. Meanwhile, Saudi Arabia indicated that an oil price of $60 per barrel was sustainable. If production is further increased, it could signal a clearer intention by OPEC to compete for market share. At a recent meeting, Saudi Arabia, as the leader of OPEC+, warned non-compliant member countries such as Kazakhstan and Iraq that if they did not adhere to their quotas, Saudi Arabia might further increase production. Despite Kazakhstan's commitment to make some compensatory measures, the country has not taken substantive steps to restrict international oil companies operating within its borders, and its exports remain near record highs. If major oil-producing countries like Saudi Arabia push for a larger-scale production increase plan, it could trigger a new round of downward pressure on the crude oil market. (Wenhua Comprehensive) SMM Daily Review ► Concerns about the continuous decline in LME copper prices prompt import traders to slightly increase shipments [SMM Secondary Copper Daily Review] ► Aluminum prices rebound slightly, and the secondary aluminum market operates steadily [ADC12 Price Daily Review] ► [SMM Nickel Sulphate Daily Review] On May 23, nickel salt prices remained stable ► [SMM MHP Daily Review] On May 23, Indonesian MHP prices slightly declined ► Silver prices consolidate, with downstream cautious and trading remaining light [SMM Daily Review]

》[Live] Research and Analysis on Macroeconomy, Electric Power, Infrastructure, Real Estate, and PV Markets; Outlook on Copper and Aluminum Prices; Insights into Cable Technology Trends SMM, May 23: Metal Market: Overnight, most of the domestic base metals market fell, with SHFE tin down 0.59%, SHFE copper down 0.12%, SHFE nickel down 0.48%, SHFE lead down 0.51%, SHFE aluminum down 0.17%, and SHFE zinc up 0.22%. In addition, the most-traded alumina futures fell 1.08%. Overnight, the ferrous metals series showed mixed performance, with iron ore slightly down, stainless steel slightly up 0.04%, rebar flat at 3,059 yuan/mt, and HRC slightly down. In terms of coking coal and coke: coking coal fell 1.2%, and coke rose 0.35%. Overnight, LME base metals nearly fell across the board, with LME copper down 0.15%, LME aluminum down 0.61%, LME lead down 0.51%, LME zinc up 0.43%, LME tin down 1.29%, and LME nickel down 0.72%. Overnight, precious metals: COMEX gold fell 0.56%, and COMEX silver fell 1.39%. Overnight, SHFE gold fell 0.71%, and SHFE silver fell 0.52%. As of 8:22 a.m. on May 23, overnight closing prices 》Click to view SMM Futures Data Dashboard Macro Front Domestic: [Latest Statements from the Ministry of Science and Technology, the People's Bank of China, the National Financial Regulatory Administration, and the China Securities Regulatory Commission Signal Important Developments] At 3 p.m. on the 22nd, the State Council Information Office held a press conference, where Qiu Yong, Vice Minister of the Ministry of Science and Technology, Zhu Hexin, Deputy Governor of the People's Bank of China and Director of the State Administration of Foreign Exchange, and other relevant officials introduced the situation regarding science and technology finance policies and answered questions from reporters. Zhu Hexin, Deputy Governor of the People's Bank of China, stated that the "Science and Technology Board" in the bond market will primarily support top-tier equity investment institutions with strong rankings and rich investment experience in issuing bonds. Qiu Yong, Vice Minister of the Ministry of Science and Technology, stated that the Ministry of Science and Technology will fully leverage its role as the leading department, further refine the task assignments for constructing the science and technology finance system, and promote the implementation of policy measures. Guo Wuping, spokesperson for the National Financial Regulatory Administration and Director of the Policy Research Department, stated that the initial pilot scale for the long-term investment reform pilot of insurance funds is 50 billion yuan, the second pilot is 112 billion yuan, and the third pilot of 60 billion yuan will be approved soon, bringing the total scale to 222 billion yuan. Yan Bojin, Chief Risk Officer of the China Securities Regulatory Commission and Director of the Issuance Supervision Department, stated that in response to the characteristics of technology enterprises, the CSRC has streamlined and optimized listing conditions, continuously enhancing the technological content of newly listed companies. The number of listed companies in strategic emerging industries on the Shanghai, Shenzhen, and Beijing Stock Exchanges has approached 2,000, with a market capitalization ratio of nearly 40%. 》Click to view details [PBOC: Conducted RMB 500 billion MLF Operation on May 23 with a One-Year Tenor] The People's Bank of China (PBOC) announced that, to maintain ample liquidity in the banking system, it would conduct a Medium-term Lending Facility (MLF) operation of RMB 500 billion on May 23, 2025 (Friday), with a one-year tenor, through fixed-quantity, interest-rate tendering, and multiple-price bidding. US Dollar Aspect: The overnight US dollar index rose by 0.33% to close at 99.94. The US House of Representatives passed President Trump's massive tax and spending cut bill. Bond vigilantes continued to monitor the global bond market, with the US House narrowly passing President Trump's "big and beautiful" tax cut bill by a single vote. According to the nonpartisan Congressional Budget Office, this would increase federal government debt by approximately $3.8 trillion over the next decade. Currently, US government debt stands at $36.2 trillion. US corporate activity rebounded in May, but the US's across-the-board tariffs have made imported goods more expensive for businesses and consumers. The S&P Global US Composite PMI, which tracks the manufacturing and services sectors, rose to 52.1 in May from 50.6 in April. A reading above 50 indicates expansion in the private sector. The number of initial jobless claims in the US fell last week, and the labour market remained stable, providing some support to the US dollar. The US weekly report also showed that the number of unemployed Americans was close to the level at the end of 2021. In the week ending May 17, the number of Americans filing initial claims for state unemployment benefits fell by 2,000 to a seasonally adjusted 227,000. Economists surveyed had expected 230,000 claims. Other Currencies Aspect: The Eurozone Composite Purchasing Managers' Index (PMI) fell to 49.5 in May from 50.4 in April, suggesting that economic activity may be stalling again. Bert Colijn, an economist at ING, pointed out that the impact of trade conflicts on the economy is more reflected in uncertainty than in direct shocks. The data only showed a slight decline in new overseas orders, while manufacturing output even increased. The services sector was the main reason for this economic slowdown, having previously been the main driver of Eurozone economic growth. Colijn stated that the Eurozone's economic activity still faces downside risks in the short term, as trade conflicts may further escalate. (Huitong Finance) Data Aspect: Today, data such as the UK's May GfK Consumer Confidence Index, Japan's April National CPI Year-on-Year Rate, Japan's April National Core CPI Year-on-Year Rate, Germany's Q1 Seasonally Adjusted Quarterly GDP Growth Rate Revised Value, Germany's Q1 Unadjusted Quarterly GDP Year-on-Year Growth Rate Revised Value, the UK's April Seasonally Adjusted Monthly Retail Sales Growth Rate, the UK's April Seasonally Adjusted Monthly Core Retail Sales Growth Rate, the US's April Monthly Building Permits Growth Rate Revised Value, the US's April Annualized Total Building Permits Revised Value, Canada's March Monthly Retail Sales Growth Rate, Canada's March Monthly Core Retail Sales Growth Rate, and the US's April Annualized Total Seasonally Adjusted New Home Sales will be released. In addition, it is noteworthy that: FOMC permanent voting member and President of the Federal Reserve Bank of New York, John C. Williams, delivered a keynote speech at the Monetary Policy Implementation Seminar; FOMC voting members for 2025, President of the Federal Reserve Bank of St. Louis, Alberto G. Musalem, and President of the Federal Reserve Bank of Kansas City, Esther L. George, participated in a fireside chat event in Northwest Arkansas hosted by the Federal Reserve Bank of St. Louis to discuss the economy and monetary policy. Crude Oil: Both WTI and Brent crude oil futures rose slightly, with WTI down 1.23% and Brent down 1.36%. The market is paying attention to reports that OPEC is discussing increasing production in July, which has sparked concerns that global supply growth may outpace demand growth. It is reported that the Organization of the Petroleum Exporting Countries (OPEC) and its allies, forming the OPEC+ alliance, are discussing whether to significantly increase production again at their meeting on June 1. Delegates attending the meeting said that increasing production by 411,000 barrels per day in July is one of the options under discussion, but no final agreement has been reached. Data released by the US Energy Information Administration (EIA) on Wednesday showed an unexpected increase in US crude oil and refined product inventories last week, causing oil prices to fall during the trading session. The EIA stated that US crude oil inventories increased by 1.3 million barrels to 443.2 million barrels in the week ending May 16. Analysts surveyed had previously expected inventories to decrease by 1.3 million barrels. (Webstock Inc.)

》[Live] Research and Analysis on Macroeconomy, Electric Power, Infrastructure, Real Estate, and PV Markets; Outlook on Copper and Aluminum Prices; Insights into Cable Technology Trends SMM News on May 22: Metal Market: As of the daytime close, overseas base metals generally declined, with only SHFE aluminum and SHFE nickel rising together. SHFE aluminum rose by 0.2%, and SHFE nickel rose by 0.03%. SHFE lead led the losses with a decline of 1.21%, while SHFE tin fell by 0.87%. The main alumina contract rose by 1.01%, recording four consecutive gains. In addition, the main lithium carbonate contract rose by 1.67%, the main polysilicon contract rose by 1.14%, the main silicon metal contract fell by 0.19%, and the main European container shipping contract fell by 0.95%. The ferrous metals series showed mixed performance. Iron ore led the gains with a rise of 0.14%, stainless steel rose by 0.04%, and HRC rose by 0.09%. In the coking coal and coke sector, coking coal fell by 0.85%, and coke fell by 1.66%. In the overseas market, as of 15:02, only LME aluminum rose, up by 0.4%. The rest of the metals recorded varying degrees of decline, with LME lead falling by 0.91% and LME tin falling by 0.62%. The declines in other metals fluctuated slightly. In the precious metals sector, as of 15:02, COMEX gold rose by 0.49%, and COMEX silver rose by 0.12%. Domestically, SHFE gold rose by 1.22%, recording five consecutive gains, and SHFE silver rose by 1.06%. Market conditions as of 15:02 today 》Click to view SMM Market Dashboard Macro Front Domestic: [State Administration for Market Regulation Seeks Public Comments on Renewal of Old Residential Elevators] According to today's official website news from the State Administration for Market Regulation, in order to thoroughly implement the relevant decisions and deployments of the CPC Central Committee and the State Council, systematically promote the use of ultra-long-term special treasury bond funds to support the renewal of old residential elevators, and ensure the safety of residents using elevators, the "Notice on Further Improving the Renewal of Old Residential Elevators (Draft for Comments)" has been drafted and is now open for public comments. It mentions that local market regulatory authorities should urge elevator manufacturing units to earnestly fulfill their production responsibilities and provide elevator products with high quality, reasonable prices, and excellent after-sales service for the renewal of old residential elevators. The safety performance indicators of the drive units, control systems, door systems, suspension devices, and deflector sheaves selected by the manufacturing units for the renewed elevators must not be lower than those of the original elevators in use, ensuring sufficient safety margins. [Total Installed Power Generation Capacity Nearly 3.5 Billion kW in the First Four Months of This Year] Statistics released by the National Energy Administration show that as of the end of April, the total installed power generation capacity nationwide was 3.49 billion kW, up 15.9% YoY. Among them, the installed power generation capacity for solar energy was 990 million kW, up 47.7% YoY; the installed capacity for wind power was 540 million kW, up 18.2% YoY. From January to April this year, the total investment in power supply projects by major power generation enterprises nationwide reached 193.3 billion yuan, up 1.6% YoY; the total investment in power grid projects reached 140.8 billion yuan, up 14.6% YoY. [Shanghai Municipal Financial Regulatory Bureau: Supporting SHFE, CFFEX, and other financial markets in Shanghai to build world-class exchanges] Zhou Xiaoquan, Executive Deputy Director of the Shanghai Municipal Financial Regulatory Bureau, stated at the "2025 Shanghai Derivatives Market Forum" that Shanghai is further strengthening the functions of its financial markets, supporting SHFE, CFFEX, and other financial markets in Shanghai to build world-class exchanges, accelerating the construction of a center for RMB financial asset allocation and risk management, and better serving national strategies and safeguarding national security. First, it will continue to deepen the opening up of financial markets and enhance their internationalization. It will deepen the interconnection and interoperability of financial markets and accelerate the launch of international-oriented financial products. Second, it will continue to improve the layout of the derivatives system and expand the breadth and depth of services to the real economy. It will support the further enrichment of commodity and financial futures products, empowering the development of new quality productive forces with a more comprehensive product system. Third, it will enhance the ability to prevent and resolve financial risks and safeguard national strategic security. It will leverage the functions of the futures market to help real enterprises better manage risks and safeguard the security of China's industry and supply chains. It will support financial markets in seizing opportunities in digitalization, intelligence, and green development, enhancing their capabilities for independent and controllable system operations and secure maintenance. (Caijing) [SHFE: Accelerating the R&D and listing of varieties such as cast aluminum alloy and LNG] Tian Xiangyang, Chairman of SHFE, stated at the 2025 Shanghai Derivatives Market Forum that SHFE will establish a first-class product system that meets the needs of new quality productive forces, accelerating the R&D and listing of varieties such as cast aluminum alloy, LNG, offset printing paper, and corrugated base paper. It will create a first-class institutional mechanism that combines international standards with Chinese characteristics, steadily promoting portfolio margining, launching new trading instructions, and deepening the market's functions. The People's Bank of China conducted 154.5 billion yuan of 7-day reverse repo operations today, with an operating interest rate of 1.40%, unchanged from the previous rate. As 64.5 billion yuan of 7-day reverse repos matured today, a net injection of 90 billion yuan was achieved. ► The central parity rate of the RMB against the US dollar in the interbank foreign exchange market on May 22 was 7.1903 yuan per US dollar. US dollar: As of 15:02, the US dollar index fell by 0.01% to 99.6. Increased market concerns over the growing US debt, coupled with weak demand for 20-year US Treasury bonds, highlighted the market's low appetite for US assets. US House Speaker Johnson stated that a vote on a massive tax cut and spending bill could take place as early as Wednesday evening. The US Treasury Department sold $16 billion worth of 20-year bonds on Wednesday, but demand was weak. Investors are concerned that as Congress continues to debate the tax cut bill, the US debt burden will continue to grow. Later this week, several US Fed officials will deliver speeches that may provide further clues about the economy and the central bank's policy path. The market is currently pricing in at least a 50 basis point interest rate cut this year, with the first cut expected in October. Macro Aspects: Today, the preliminary SPGI Manufacturing PMI for France in May, the preliminary SPGI Manufacturing PMI for Germany in May, the preliminary SPGI Manufacturing PMI for the Eurozone in May, the Germany May IFO Business Climate Index, the preliminary SPGI Services PMI for the UK in May, the preliminary SPGI Manufacturing PMI for the UK in May, the CBI Industrial Trends Orders in the UK in May, the CFIB Business Barometer in Canada in May, the initial jobless claims in the US for the week ending May 17, the continued jobless claims in the US for the week ending May 10, the preliminary SPGI Manufacturing PMI for the US in May, and the annualized total of existing home sales in the US in April, among other data, will be released. Additionally, it is worth noting that Thomas Barkin, the 2027 FOMC voter and president of the Federal Reserve Bank of Richmond, will attend an event titled "Fed Listens." The State Council Information Office will hold a press conference, where Qiu Yong, Vice Minister of the Ministry of Science and Technology, Zhu Hexin, Deputy Governor of the People's Bank of China and Director of the State Administration of Foreign Exchange, and relevant officials from the National Administration of Financial Regulation and the China Securities Regulatory Commission will introduce the situation regarding science and technology finance policies and answer questions from reporters. The European Central Bank will release the minutes of its April monetary policy meeting. Crude Oil Aspects: As of 15:02, oil prices in both markets fell simultaneously, with US oil down 1.61% and Brent oil down 1.63%. Kazakhstan continues to overproduce, and OPEC+ may adopt a more aggressive production increase strategy to enforce discipline. Kazakhstan has repeatedly exceeded its OPEC+ production quota, with its oil output further increasing by 2% in May to reach 1.86 million barrels per day, far exceeding its quota of 1.486 million barrels per day. This country, which has significantly overproduced, is becoming a headache for cooperation within OPEC+, undermining the credibility of OPEC+'s compensatory production cut agreement. OPEC+ may still consider a more aggressive production increase strategy on June 1 to warn member countries within the organization to strengthen production cut discipline, thereby putting greater supply pressure on the oil market. As Saudi Arabia shifts towards increasing production and demand slows down, the risk of inventory buildup in the oil market is gradually intensifying. According to the IEA's latest monthly report, it is expected that the increase in global crude oil supply in 2025 will far exceed the increase in demand, which is also the mainstream view of the vast majority of research institutions. The International Energy Agency (IEA) significantly raised its forecast for global supply growth in 2025 by 380,000 barrels per day (bpd) to 1.6 million bpd, primarily due to Saudi Arabia's shift from adhering to production cuts to accelerating production increases. The IEA also sharply lowered its forecast for global crude oil demand growth in 2025 from 1.03 million bpd to 730,000 bpd, and further reduced its projection for global crude oil demand growth in 2026 to 690,000 bpd, citing a global economic slowdown leading to a slowdown in oil product consumption. Meanwhile, OPEC lowered its forecast for global crude oil demand growth in 2025 from 1.45 million bpd to 1.3 million bpd. While the organization remains more optimistic from a seller's perspective, it has to admit that the demand outlook is deteriorating. (Wenhua Comprehensive) SMM Daily Review ► [SMM MHP Daily Review] May 22: Indonesian MHP prices slightly decline ► [SMM Nickel Sulphate Daily Review] May 22: Nickel salt prices remain stable

》[Live] Research and Analysis on Macroeconomy, Electric Power, Infrastructure, Real Estate, and PV Markets; Outlook on Copper and Aluminum Prices; Insights into Cable Technology Trends SMM, May 22: Metal Market: As of the midday close, domestic base metals generally fell. SHFE tin dropped 0.67%, SHFE zinc fell 0.6%, SHFE aluminum rose 0.27%, and SHFE nickel increased slightly. SHFE lead fell 0.83%, and SHFE copper dropped 0.14%. In addition, alumina rose 1.48%. Lithium carbonate increased 0.56%, silicon metal fell 0.25%, and polysilicon dropped 0.55%. The ferrous metals series mostly fell, with iron ore increasing slightly and HRC rising 0.22%. Stainless steel and rebar fell slightly, with declines both within 0.1%. For coking coal and coke: coking coal fell 1.19%, and coke dropped 1.09%. In overseas metal markets, as of 11:42 a.m., LME metals generally fell. LME copper rose 0.18%, LME aluminum increased 0.59%, LME zinc and LME nickel fell slightly, LME tin dropped 0.32%, and LME lead fell 0.43%. In precious metals, as of 11:42 a.m., COMEX gold rose 0.81%, and COMEX silver increased 0.4%. Domestically, SHFE gold rose 1.72%, and SHFE silver increased 1.4%. As of the midday close, the most-traded contract for the European Containerized Freight Index fell 3.55%, closing at 2148.1 points. As of 11:42 a.m. on May 22, midday futures market movements for some metals: 》SMM Metal Spot Prices on May 22 Spot and Fundamentals Aluminum: Inventory: According to SMM's domestic aluminum ingot inventory data, as of May 22, domestic aluminum ingot inventory stood at 557,000 mt, a destocking of 28,000 mt from Monday. In the short term, the lower arrival of aluminum in east China is conducive to the rise in premiums and discounts. Follow-up attention should be paid to changes in demand... 》Click for details Macro Front Domestic: [SAMR Publicly Solicits Opinions on the Renewal of Old Residential Elevators] According to today's official website news of the State Administration for Market Regulation (SAMR), in order to thoroughly implement the relevant decisions and deployments of the CPC Central Committee and the State Council, orderly promote the use of ultra-long-term special treasury bond funds to support the renewal of old residential elevators, and ensure the safety of residents using elevators, the SAMR has drafted the "Notice on Further Improving the Renewal of Old Residential Elevators (Draft for Public Comments)" and is now publicly soliciting opinions from society. It mentions that local market regulation departments should urge elevator manufacturing units to earnestly fulfill their production responsibilities and provide elevator products with high quality, reasonable prices, and excellent after-sales service for the renewal of old residential elevators. The safety performance indicators of drive units, control systems, door systems, suspension devices, and deflector sheaves selected by manufacturing units for the renewed elevators must not be lower than those of the original elevators in use, ensuring sufficient safety margins. [China's cumulative installed power generation capacity reached nearly 3.5 billion kW in the first four months of this year] According to statistics released by the National Energy Administration, as of the month-end of April, China's cumulative installed power generation capacity was 3.49 billion kW, up 15.9% YoY. Among this, the installed capacity of solar power generation was 990 million kW, up 47.7% YoY, and the installed capacity of wind power was 540 million kW, up 18.2% YoY. From January to April this year, China's major power generation enterprises completed investments of 193.3 billion yuan in power supply projects, up 1.6% YoY, and investments of 140.8 billion yuan in power grid projects, up 14.6% YoY. [Shanghai Municipal Financial Regulatory Bureau: Supporting SHFE, CFFEX, and other financial markets in Shanghai to build world-class exchanges] Zhou Xiaoquan, Executive Deputy Director of the Shanghai Municipal Financial Regulatory Bureau, stated at the "2025 Shanghai Derivatives Market Forum" that Shanghai is further strengthening the functions of its financial markets, supporting SHFE, CFFEX, and other financial markets in Shanghai to build world-class exchanges, accelerating the construction of a center for the allocation and risk management of RMB financial assets, and better serving national strategies and safeguarding national security. First, it will continue to deepen the opening up of financial markets and enhance their internationalization. It will deepen the interconnection and interoperability of financial markets and accelerate the launch of international-oriented financial products. Second, it will continue to improve the layout of the derivatives system and expand the breadth and depth of services to the real economy. It will support the further enrichment of commodity and financial futures products, empowering the development of new quality productive forces with a more comprehensive product system. Third, it will enhance the ability to prevent and resolve financial risks and safeguard national strategic security. It will leverage the functions of the futures market to help real enterprises better manage risks and safeguard the security of China's industry and supply chains. It will support financial markets in seizing opportunities in digitalization, intelligence, and green development, enhancing their capabilities for autonomous control, secure operation, and maintenance. (Caijing) [SHFE: Accelerating the R&D and listing of varieties such as cast aluminum alloy and LNG] Tian Xiangyang, Chairman of SHFE, stated at the 2025 Shanghai Derivatives Market Forum that SHFE will improve a first-class product system tailored to the needs of new quality productive forces, accelerating the R&D and listing of varieties such as cast aluminum alloy, LNG, offset printing paper, and corrugated base paper. It will establish a first-class institutional mechanism that combines international standards with Chinese characteristics, steadily advancing the implementation of portfolio margins, introducing new trading instructions, and deepening the market's functions. The People's Bank of China conducted 154.5 billion yuan of 7-day reverse repo operations today, with an operating interest rate of 1.40%, unchanged from the previous rate. As 64.5 billion yuan of 7-day reverse repos matured today, a net injection of 90 billion yuan was achieved. ► The central parity rate of the RMB exchange rate in the inter-bank foreign exchange market was 7.1903 RMB per US dollar on May 22 US dollar: The US dollar index continued its downward trend from the previous three trading sessions, remaining in the doldrums. As of 11:42, the US dollar index fell by 0.1% to 99.51. Mounting concerns over the US's ever-increasing debt, coupled with weak demand for 20-year US Treasury bonds, underscore the market's low appetite for US assets. US House Speaker Johnson stated that a vote on a massive tax cut and spending bill could take place as early as Wednesday evening. The US Treasury Department sold $16 billion in 20-year bonds on Wednesday, but demand was sluggish. Investors are worried that as Congress continues to debate the tax cut bill, the US's debt burden will continue to grow. Later this week, several US Fed officials are scheduled to speak, potentially offering further clues about the economic outlook and the central bank's policy path. The market is currently pricing in at least a 50 basis point interest rate cut this year, with the first cut expected in October. In other currency news: Bank of Japan (BOJ) Policy Board Member Asahi Noguchi said that the BOJ should not preset a terminal interest rate during the process of raising interest rates; instead, it should take time to assess the impact of each rate hike on the economy, carefully review the associated risks, and then consider the next rate increase. In his view, there is no need to make significant adjustments to the existing central bank's tapering plan. (Caijing) On the macro front: Today, the following data will be released: flash France May S&P Global Manufacturing PMI, flash Germany May S&P Global Manufacturing PMI, flash Eurozone May S&P Global Manufacturing PMI, Germany May IFO Business Climate Index, flash UK May S&P Global Services PMI, flash UK May S&P Global Manufacturing PMI, UK May CBI Industrial Trends Orders, Canada May CFIB Business Barometer, US initial jobless claims for the week ending May 17, US continuing jobless claims for the week ending May 10, flash US May S&P Global Manufacturing PMI, and US existing home sales annualized total for April. In addition, it is worth noting that: Thomas Barkin, the 2027 FOMC voter and president of the Federal Reserve Bank of Richmond, will attend an event titled "Fed Listens"; the State Council Information Office will hold a press conference, where Qiu Yong, Vice Minister of the Ministry of Science and Technology, Zhu Hexin, Deputy Governor of the People's Bank of China and Director of the State Administration of Foreign Exchange, and relevant officials from the National Financial Regulatory Administration and the China Securities Regulatory Commission will introduce the relevant situation of science and technology finance policies and answer questions from reporters; and the European Central Bank (ECB) will publish the minutes of its April monetary policy meeting. In the crude oil market: As of 11:42, crude oil futures fluctuated rangebound. US crude oil was flat at $61.57 per barrel, while Brent crude oil fell by 0.05%. Oil prices came under pressure due to unexpected increases in US crude oil and fuel inventories, raising demand concerns. Additionally, the market remained cautious, keeping an eye on the resumed negotiations between Iran and the US. The US Energy Information Administration (EIA) said on Wednesday that US crude oil and fuel inventories rose unexpectedly last week, as crude oil imports hit a six-week high and gasoline and distillate demand declined. In the week ending May 16, US crude oil inventory increased by 1.3 million barrels to 443.2 million barrels. Gasoline inventory rose by 816,000 barrels to 225.5 million barrels. Distillate inventory increased by 580,000 barrels to 104.1 million barrels. Hiroyuki Kikukawa, chief strategist at Nissan Securities Investment, said, "Although the increase in US inventory has raised concerns, some investors expect that the summer driving season will arrive after the Memorial Day weekend, which is expected to destock inventory and limit further downside room for oil prices." (Webstock Inc.) Spot Market Overview: ► Suppliers' sentiment to sell off inventory is evident, with the premium center continuing to move lower [SMM Shanghai spot copper] ► Both inventory and copper prices are declining, with suppliers refusing to budge on prices while selling [SMM South China spot copper] ► The aftermath of the trade war lingers, with China's secondary copper import structure accelerating its reconfiguration [SMM Analysis] ► Destocking in east China exceeds expectations, with suppliers showing strong willingness to refuse to budge on prices [SMM Spot Aluminum Midday Review] ► [SMM Nickel Midday Review] Nickel prices changed relatively little on May 22, with the 20-year US Treasury auction being the worst in five years Other metal spot midday reviews will be updated later. Please refresh to view~

The central bank's interest rate cut policy was implemented as scheduled, and the Loan Prime Rate (LPR) was adjusted accordingly. On May 20, the LPR quotes for May were released: the LPR for loans with a maturity of over five years was 3.5%, down from 3.6% the previous month. The LPR for one-year loans was 3%, down from 3.1% the previous month. This is a significant move in monetary policy following the central bank's announcement of RRR cuts and interest rate cuts in early May. Researchers pointed out that with the five-year LPR falling to a historical low, the mortgage rate on existing home loans for first-time homebuyers nationwide will enter the "2%" era, further reducing the monthly mortgage payment costs for homebuyers. Coupled with policies such as the reduction in the housing provident fund interest rate and adjustments to the mortgage rate on existing home loans, the real estate market is set to undergo a new round of systematic cost optimization. For example, if a commercial loan of 1 million yuan is taken out for 30 years with equal principal and interest repayments, a 10 basis point drop in the LPR will reduce the monthly mortgage payment by 56 yuan, resulting in a cumulative reduction of 20,000 yuan over 30 years. The mortgage rate on existing home loans for first-time homebuyers nationwide is expected to fall to 2.95%. "Currently, the policy floor for mortgage rates on first-time and second-time home purchases has been lifted nationwide, and the mortgage rate on existing home loans for first-time homebuyers in many cities has already fallen to a historical low of around 3.0%. This reduction in the LPR for loans with a maturity of over five years will help guide mortgage rates to fall further across the country, continuing to reduce the home purchase costs for homebuyers," said Chen Wenjing, Director of Policy Research at the China Index Academy. Zhang Dawei, Chief Analyst at Centaline Property, also told reporters, "This 10 basis point drop in the LPR means that the mortgage rate on existing home loans for first-time homebuyers nationwide, which has hovered around the 3% mark for nearly a year, will now enter the 2% range." According to statistics from the Centaline Property Research Institute, the weighted average interest rate for newly issued commercial personal housing loans nationwide in Q1 2025 was 3.11%, showing a slight fluctuation from 3.10% in Q4 2024 (it was around 3.33% in Q3 2024). The average mortgage rate on existing home loans for first-time homebuyers was around 3.06%. "It is expected that after this interest rate cut, the mortgage rate on existing home loans for first-time homebuyers nationwide will fall to around 2.95%," Zhang Dawei said. He further stated that before the interest rate cut, the mortgage rate on existing home loans for first-time homebuyers in most cities had already fallen to between 2.8% and 3%. Currently, the mortgage rates on existing home loans for first-time homebuyers in Beijing, Shanghai, and Shenzhen are all LPR-45BP. After this interest rate cut, the highest mortgage rate on existing home loans for first-time homebuyers in first-tier cities will fall to 3.05%, while other cities will see a comprehensive reduction to around 2.9%. Taking Beijing as an example, the previously implemented mortgage rates on existing home loans for first-time and second-time home purchases were 3.15% (LPR-45BP) and 3.35% (outside the Fifth Ring Road, LPR-25BP)/3.55% (inside the Fifth Ring Road, LPR-5BP), respectively. After this adjustment, the mortgage rates on existing home loans for first-time and second-time home purchases in Beijing are expected to be adjusted to 3.05% (LPR-45BP) and 3.25% (outside the Fifth Ring Road, LPR-25BP)/3.45% (inside the Fifth Ring Road, LPR-5BP), respectively. Among them, the mortgage rates on existing home loans for first-time home purchases and second-time home purchases outside the Fifth Ring Road have both fallen to historical lows. For homebuyers, the benefits of an interest rate cut are evident. An industry insider told reporters that over a 30-year repayment period, the cumulative interest savings from this interest rate cut would be substantial. Many potential homebuyers who were previously deterred by high interest rates now find their home-buying plans more feasible as costs decrease following the interest rate reduction. Chen Wenjing believes that the recent LPR reduction will also drive down the mortgage rate on existing home loans. After the mortgage rate re-pricing date, the mortgage rate on existing home loans can follow suit and decrease, thereby reducing the repayment pressure on homeowners who have already purchased properties. Looking back at history, according to statistics from Centaline Property, the Loan Prime Rate (LPR) has undergone multiple reductions, with a cumulative decline of 60 basis points. Zhang Dawei stated that, observing the trend, amidst a complex economic environment, the market expects monetary policy to become more accommodative. "With the reduction in deposit interest rates, it is likely that mortgage rates will continue to decline in the future." Conducive to consolidating the stable trend of the real estate market The recent LPR reduction is not an isolated event but a key part of the central bank's series of stimulus policy packages. On May 7, departments such as the People's Bank of China (PBOC), the National Financial Regulatory Administration, and the China Securities Regulatory Commission held a press conference, during which the PBOC governor announced a reduction in the reserve requirement ratio (RRR) and policy interest rates. Specifically, the interest rate for the 7-day reverse repo operations in the open market was lowered from the current 1.5% to 1.4%, and it is expected that this will lead to a synchronous decline of approximately 0.1 percentage point in the Loan Prime Rate (LPR). Subsequently, on May 20, the 1-year and over-5-year LPRs were reduced by 10 basis points, with the reduction in line with market expectations. In addition, on May 7, the PBOC also announced a 0.5 percentage point reduction in the RRR, which is expected to provide approximately 1 trillion yuan in long-term liquidity to the market; a 0.25 percentage point reduction in the interest rate for individual housing provident fund loans, with the interest rate for first-time home purchases with a term of over five years lowered from 2.85% to 2.6%, and interest rates for other terms adjusted accordingly. "Overall, there are still many external uncertainties and instability factors recently. The successive implementation of RRR and interest rate cuts since May will help consolidate the stable operation of the macro economy and also contribute to the stability of the real estate market," Chen Wenjing said. Industry insiders pointed out that with the reduction in housing provident fund loan interest rates and the recent reduction in the over-5-year LPR, the cost of home purchases for homebuyers will be further reduced, supporting the release of residents' housing demand. According to a research report by Orient Securities, the decline in new home sales volume in the first quarter of this year narrowed significantly, with signs of price stabilization emerging in some high-tier cities. The second-hand housing market continued the trend of volume discount. Pan Gongsheng, governor of the People's Bank of China, previously stated, "Based on the economic and financial performance and the effectiveness of various policy tools, we can further expand the scale of these tools and improve their policy elements." Consequently, Chen Wenjing anticipates that in the future, more policies providing financial support for the real estate sector are expected to continue to be implemented, such as financial policies to support the sale of completed homes and funding for urban renewal projects. "Given the seasonal effects and fluctuations in exports during Q2, the real estate market is facing certain downward pressure. It is expected that real estate policies in Q2 will lean towards providing a safety net rather than strong stimulus measures. There may be policies introduced to optimize the acquisition and storage of commercial housing, as well as supporting policies for urban village renovation. Some industry experts also believe there is a possibility of further easing in first-tier cities. If these measures are implemented, they will play a role in further stabilizing market expectations," said Zhao Xuxiang, an analyst at Orient Securities.

Executive Report on China's Monetary Policy for Q1 2025 Content Summary Since the beginning of this year, under the strong leadership of the Party Central Committee with Comrade Xi Jinping at its core, various macro policies have been implemented in a coordinated manner, and the economy has shown a positive trend. In Q1, the gross domestic product (GDP) increased by 5.4% YoY. Social confidence has continued to improve, and high-quality development has been steadily advancing, achieving a good start for the national economy. The People's Bank of China (PBOC), guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, has conscientiously implemented the decisions and deployments of the Party Central Committee and the State Council. It has implemented a moderately accommodative monetary policy, strengthened counter-cyclical adjustments, and created a suitable monetary and financial environment for the sustained economic rebound and improvement. 1. Maintaining Reasonable Growth in Money and Credit. The PBOC has utilized a combination of tools, including reserve requirement ratios, open market operations, medium-term lending facilities (MLFs), and re-lending and rediscounting, to maintain ample liquidity. It has guided financial institutions to fully meet the effective credit demands of the real economy, improve the efficiency of capital utilization, and enhance the quality and efficiency of services to the real economy. 2. Promoting a Decline in Comprehensive Social Financing Costs. The PBOC has improved the market-oriented interest rate regulation framework, lowered policy interest rates and interest rates for structural monetary policy tools, strengthened the implementation of interest rate policies, and driven down deposit and lending interest rates. 3. Guiding the Adjustment and Optimization of Credit Structure. The PBOC has promoted the optimization of re-lending for technological innovation and technological transformation, made good use of two capital market support tools, implemented various existing structural monetary policy tools, created new policy tools, and continued to make progress in the "Five Major Articles" of finance. 4. Maintaining Basic Stability of the Exchange Rate. The PBOC has adhered to the principle that the market plays a decisive role in exchange rate formation, leveraged the regulatory functions of the exchange rate on the macro economy and international payments, implemented comprehensive measures, maintained stable expectations, and kept the RMB exchange rate basically stable amid complex situations. 5. Strengthening Risk Prevention and Resolution. The PBOC has prudently and orderly resolved financial risks in key areas and continuously improved the financial risk monitoring, assessment, and early warning systems. The counter-cyclical adjustment effects of monetary policy have been relatively evident. The aggregate amount of finance has grown steadily. At the end of March, the outstanding social financing stock and broad money (M2) increased by 8.4% and 7.0% YoY, respectively, and the balance of RMB loans reached 265.4 trillion yuan. Social financing costs have remained at historically low levels. In March, the interest rates on newly issued corporate loans and personal housing loans decreased by approximately 50 and 60 basis points YoY, respectively. The credit structure has continued to optimize. At the end of March, loans to specialized and sophisticated small and medium-sized enterprises and inclusive micro and small enterprise loans increased by 15.1% and 12.2% YoY, respectively, continuing to outpace the growth rate of all loans.The RMB exchange rate remained basically stable at a reasonable and balanced level. The central parity rate of the RMB against the US dollar was 7.1782 yuan at the end of March, basically flat compared with that at the end of the previous year. Currently, the impact of external shocks is intensifying, with insufficient momentum for global economic growth, rising trade protectionism, and persistent geopolitical conflicts. The foundation for China's sustained economic rebound and improvement needs further consolidation. However, it should also be noted that China possesses numerous advantages, including a vast market, a complete industrial system, and abundant human resources. The fundamental trend of long-term economic improvement remains unchanged. We must strengthen our confidence in development and respond to the uncertainties of the external environment with the certainty of high-quality development. In the next phase, the People's Bank of China (PBOC) will adhere to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, comprehensively implement the spirit of the Third Plenary Session of the 20th CPC Central Committee, the Central Economic Work Conference, and the Two Sessions, uphold the general principle of pursuing progress while ensuring stability, fully, accurately, and comprehensively implement the new development philosophy, unwaveringly follow the path of financial development with Chinese characteristics, further deepen financial reforms and high-level opening-up to the outside world, continuously promote high-quality financial development and the building of a financial powerhouse, accelerate the improvement of the central bank system, and further refine the monetary policy framework. We will balance short-term and long-term goals, steady growth and risk prevention, internal and external equilibrium, as well as supporting the real economy and maintaining the health of the banking system. We will enhance the foresight, pertinence, and effectiveness of macroeconomic regulation, strengthen the coordination and cooperation of macroeconomic policies, expand domestic demand, stabilize expectations, stimulate vitality, and make every effort to consolidate the fundamentals of economic development and social stability. We will implement an appropriately accommodative monetary policy. Based on the domestic and international economic and financial situations, as well as the operation of financial markets, we will flexibly adjust the intensity and pace of policy implementation, maintain ample liquidity, and ensure that the growth of aggregate social financing and money supply aligns with the expected targets for economic growth and the overall price level. We will prioritize promoting a reasonable rebound in prices as a key consideration in monetary policy formulation, and strive to keep prices at a reasonable level. We will unclog the monetary policy transmission mechanism, further refine the interest rate regulation framework, continuously strengthen the implementation and supervision of interest rate policies, reduce banks' liability costs, and drive down the overall social financing costs. We will leverage the dual functions of monetary policy tools in terms of both aggregate and structural aspects, adhere to focusing on key areas, maintaining reasonable moderation, and advancing and retreating as appropriate, guiding financial institutions to increase support for technology finance, green finance, inclusive finance for small and micro enterprises, consumption expansion, and stable foreign trade. We will uphold a managed floating exchange rate system based on market supply and demand, with reference to a basket of currencies for adjustment, and adhere to the decisive role of the market in exchange rate formation. We will enhance the resilience of the foreign exchange market, stabilize market expectations, resolutely correct procyclical behaviors in the market, dispose of behaviors that disrupt market order, and resolutely guard against the risk of exchange rate overshooting, thereby maintaining the RMB exchange rate basically stable at a reasonable and balanced level.We will explore and expand the macroprudential and financial stability functions of the central bank to maintain the stability of the financial market and resolutely uphold the bottom line of preventing systemic financial risks. Click to view: 》China's Monetary Policy Implementation Report for Q1 2025

【Live: Decoding Macro Economy, Forecasting Copper Price Trends and Trading Strategies, Exploring the Green Transformation Path of the Copper Industry Under the New Energy Wave】 ►76 Years of Striving and Progress, Learning from the Past to Build a Strong Nation: 76 Years of Development Achievements of China's Copper Industry ►Unpredictable Global Macro Economy, Outlook on Commodity Allocation ►Current Status and Trends of New Energy Vehicles ►Future Development Trends of the Global Copper Industry ►2025 Copper Price Trends and Outlook ►Development of Global Copper Smelting Processes and Digitalization Direction ►Current Status and High-Quality Development Trends of China's Copper Processing Industry ►Trading Strategies for the Current Landscape of China's Copper Industry

【Live: Decoding Macro Economy, Forecasting Copper Price Trends and Trading Strategies, Exploring the Green Transformation Path of the Copper Industry Under the New Energy Wave】 ►76 Years of Striving and Progress, Learning from the Past to Build a Strong Nation: 76 Years of Development Achievements of China's Copper Industry ►Unpredictable Global Macro Economy, Outlook on Commodity Allocation ►Current Status and Trends of New Energy Vehicles ►Future Development Trends of the Global Copper Industry ►2025 Copper Price Trends and Outlook ►Development of Global Copper Smelting Processes and Digitalization Direction ►Current Status and High-Quality Development Trends of China's Copper Processing Industry ►Trading Strategies for the Current Landscape of China's Copper Industry

The National Financial Regulatory Administration issued guidelines on promoting the high-quality development of financial asset management companies and enhancing regulatory effectiveness. The guidelines mentioned guiding financial asset management companies to base themselves on their functional positioning, optimize and strengthen non-performing asset business, carry out orderly and standardized distressed enterprise relief business, explore models for serving and resolving financial and real economy risks under new circumstances, and promote the optimal allocation of economic and social resources. Deepen reform and transformation. Promote financial asset management companies to adhere to connotative, professional, and differentiated development, gradually build a high-quality development path that is legal, compliant, risk-controllable, and commercially sustainable, strengthen policy support and resource guarantees for high-quality development, and promote healthy market competition and sustainable development. Strengthen risk prevention and control. Make risk prevention and control the eternal theme of financial work, comprehensively strengthen corporate governance and risk management, strengthen the "five major regulations," identify, warn, expose, and dispose of risks early, and firmly hold the bottom line of preventing systemic financial risks. Guidelines of the National Financial Regulatory Administration on Promoting the High-Quality Development of Financial Asset Management Companies and Enhancing Regulatory Effectiveness To all financial regulatory bureaus and financial asset management companies: In order to thoroughly implement the decisions and deployments of the Party Central Committee on financial work, further strengthen the supervision of financial asset management companies, effectively prevent and resolve risks, promote the high-quality development of financial asset management companies, and better play the role of financial rescue and counter-cyclical adjustment of financial asset management companies under new circumstances, the following opinions are proposed. I. General Requirements (1) Guiding Ideology Adhere to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, thoroughly implement the spirit of the 20th National Congress of the Communist Party of China, the Second and Third Plenary Sessions of the 20th Central Committee, the Central Economic Work Conference, and the Central Financial Work Conference, fully, accurately, and comprehensively implement the new development concepts, practice the political and people-oriented nature of financial work, and unswervingly follow the path of financial development with Chinese characteristics. Adhere to strong and strict supervision, continuously improve the regulatory system of financial asset management companies, focus on preventing substantive risks and solving practical problems, and continuously improve regulatory effectiveness. Guide financial asset management companies to focus on their main responsibilities and businesses, deepen reform and transformation development, balance the relationship between functionality and profitability, prioritize functionality, continuously improve the quality and effectiveness of serving and resolving financial and real economy risks, assist in the construction of a financial powerhouse, and better serve the overall situation of Chinese-style modernization. (2) Basic Principles First, strengthen the Party's leadership. Adhere to the centralized and unified leadership of the Party Central Committee over financial work, integrate the strengthening of the Party's leadership and Party building throughout the entire process of the reform and development of financial asset management companies, and ensure that financial asset management companies always maintain the correct development direction. Second, focus on main responsibilities and businesses. Guide financial asset management companies to base themselves on their functional positioning, optimize and strengthen non-performing asset business, carry out orderly and standardized distressed enterprise relief business, explore models for serving and resolving financial and real economy risks under new circumstances, and promote the optimal allocation of economic and social resources. Third, deepen reform and transformation. Promote financial asset management companies to adhere to connotative, professional, and differentiated development, gradually build a high-quality development path that is legal, compliant, risk-controllable, and commercially sustainable, strengthen policy support and resource guarantees for high-quality development, and promote healthy market competition and sustainable development. Fourth, strengthen risk prevention and control. Make risk prevention and control the eternal theme of financial work, comprehensively strengthen corporate governance and risk management, strengthen the "five major regulations," identify, warn, expose, and dispose of risks early, and firmly hold the bottom line of preventing systemic financial risks. II. Strengthen the Party's Leadership and Continuously Improve the Effectiveness of Corporate Governance (3) Continuously Strengthen the Party's Leadership and Party Building. Adhere to Party building as the guide, continuously strengthen the Party's leadership and Party building, effectively play the leading role of the Party Committee in setting the direction, managing the overall situation, and ensuring implementation, and accurately grasp the basic positioning and development direction of financial asset management companies. Adhere to and improve the "two-way entry, cross-appointment" leadership system, integrate the Party's leadership into all aspects of corporate governance, and promote the establishment of a modern financial enterprise system with Chinese characteristics. Seriously implement the "three major and one big" decision-making system, major business management matters must be pre-researched and discussed by the Party Committee before being decided by relevant governance bodies according to their authority and prescribed procedures. Promote the deep integration and mutual promotion of Party building and business, and promote high-quality development with high-quality Party building. Adhere to the standards of political competence, ability competence, and style competence, and forge a high-quality and professional financial cadre and talent team that is loyal, clean, and responsible. (4) Improve the Construction of Corporate Governance Mechanisms. Optimize and improve the organizational structure of corporate governance in combination with the business characteristics and actual situation of financial asset management companies, clarify the boundaries of responsibilities, fully play the role of governance bodies such as the shareholders' meeting, the board of directors, and the senior management, and build a corporate governance mechanism with clear powers and responsibilities, each performing its own duties, coordinated operation, and effective checks and balances. Compress the responsibilities of shareholders, directors, and senior management, improve the performance evaluation mechanism, urge and promote diligence and due diligence, exercise powers and fulfill obligations in accordance with the law, and effectively participate in corporate governance. Adhere to honesty and trustworthiness, profit by righteousness, prudence and caution, integrity and innovation, and legal compliance, and practice financial culture with Chinese characteristics. (5) Establish and Improve Incentive and Constraint Mechanisms. Adhere to problem orientation and goal orientation, establish and improve incentive and constraint mechanisms that are compatible with the company's development strategy and business characteristics, stimulate the endogenous motivation to adhere to positioning and operate steadily, and resolutely avoid blindly pursuing scale, disorderly expansion, and deviation from the main business. Play the guiding role of performance appraisal, optimize the performance evaluation mechanism, improve relevant assessment indicators, focus on long-term and counter-cyclical assessment, highlight compliance management and risk management, and strengthen the evaluation of the effectiveness of serving and resolving financial and real economy risks. Seriously implement the deferred payment and clawback system of performance compensation for executive directors, senior management, and key personnel, and prevent the weakening of risk prevention and control caused by improper incentives. Strictly implement the accountability system, strengthen the accountability for dereliction of duty and improper performance of duties, and at the same time adhere to the "three distinctions," and implement the system of due diligence and exemption from liability. III. Base on Functional Positioning and Promote the Resolution of Financial and Real Economy Risks (6) Focus on Leveraging Special Functions and Accelerate the Cultivation of Core Competitiveness. Support financial asset management companies to base themselves on leveraging the functions of financial rescue and counter-cyclical adjustment, explore business model innovation in accordance with laws and regulations, enrich risk resolution and rescue relief methods, deepen professional and differentiated development, and cultivate core competitiveness with comparative advantages. Improve the capabilities of non-performing asset due diligence, valuation and pricing, ongoing management, restructuring and value-added operations, and asset disposal. Strengthen the construction of the non-performing asset disposal ecosystem. Expand intermediary businesses such as consulting, entrusted asset disposal, and bankruptcy management, and explore the development of light asset business models. Strengthen investment research capabilities, enhance the ability to analyze and judge the macro economy, related industries, industries, and enterprises, and grasp investment opportunities. Explore the use of big data, artificial intelligence, etc., to improve the quality and efficiency of business management, and promote technological empowerment and digital transformation. (7) Strengthen and Optimize Non-Performing Asset Acquisition and Disposal Business, and Serve the Resolution of Risks in Small and Medium Financial Institutions, Real Estate, and Other Fields. On the premise of controllable risks and commercial sustainability, actively increase the acquisition, management, and disposal of non-performing assets of commercial banks and non-bank financial institutions, and serve the reform and risk resolution of local small and medium financial institutions. Prudently and cautiously carry out the acquisition of non-performing assets through structured transactions, adhere to the real and clean transfer of assets, and do not provide support for financial institutions to use structured transactions to illegally cover up non-performing assets and beautify statements. Standardize the reverse entrusted disposal of non-performing assets, continuously do a good job in monitoring and management during the entrusted period, strengthen the construction of self-disposal capabilities, and avoid "entrusting and forgetting." Encourage financial asset management companies to leverage their professional advantages in knowledge, technology, and law, and explore various ways to participate in the risk resolution of small and medium financial institutions. Actively implement national real estate policies, support the relief and risk resolution of distressed real estate projects, and promote the stable and healthy development of the real estate market. (8) Leverage Expertise in Risk Resolution and Asset Disposal to Promote the Healthy Development of the Real Economy. Carry out distressed enterprise relief business in accordance with laws and regulations, prudently and orderly, focus on the effective financial needs of distressed enterprises, implement relief through bridge financing, co-benefit debt investment, mezzanine investment, and temporary equity holding, promote the optimization of asset and liability structure, restore the production and operation capabilities and debt repayment capabilities of enterprises, and achieve the organic unity of economic and social benefits. Reasonably and prudently determine the objects of distressed enterprise relief, and do not implement relief for enterprises that violate national policy directions and are obviously not worth relieving. In combination with the positioning and resource endowment of financial asset management companies, do a good job in the "five major articles" of finance according to local conditions, promote the development and growth of technological innovation and new quality productive forces, and support the high-quality development of the capital market. IV. Strengthen Risk Prevention and Control and Firmly Hold the Bottom Line of Risks (9) Continuously Strengthen Risk Management and Internal Control Mechanism Construction. Focus on key areas and weak links of risk prevention and control, continuously improve the comprehensive risk management system, ensure coverage of all types of business, all institutions, positions, and risk types, and improve the effectiveness of risk management. Strengthen the construction of the "three lines of defense," and strengthen the control of risk sources. Strengthen the management and supervision of key positions, key personnel, and key business links such as non-performing asset acquisition and disposal, and asset valuation, implement the system of job avoidance and rotation, strictly prevent moral hazards, and deeply investigate and examine clues of corruption behind business violations and large risk projects. Strengthen internal authorization management, scientifically and prudently determine the business authority of branches and subsidiaries. Strengthen compliance management, establish the concept of full compliance and compliance creating value. Improve the construction of the internal audit system, explore the implementation of centralized or vertical management of audits. Improve information technology governance and data governance, strengthen network security, data security, business continuity, and information technology outsourcing management, and prevent the risks of new technology applications. (10) Strengthen the Disposal of Existing Risk Assets and Strictly Control the Risks of Incremental Business. Continuously promote the disposal of endogenous non-performing assets, and continuously improve the quality and efficiency of disposal through collection, restructuring, and debt-for-asset swaps. Pay equal attention to optimizing increments and revitalizing stock, strengthen the due diligence and review of new business, and strengthen post-investment management. Strengthen concentration risk management, prevent excessive concentration of asset investment. Strengthen asset classification management, accurately classify financial assets that bear credit risks, truly reflect asset quality, fully provision in accordance with laws and regulations, and enhance risk resistance capabilities. Strengthen the valuation management of financial assets that bear market risks, and accurately reflect the changes in fair value in accordance with accounting standards and other regulations. (11) Strengthen Asset and Liability and Liquidity Management. Reasonably determine business investment based on their own business management capabilities and liabilities, and do not blindly drive asset scale growth with liability expansion. Balance the relationship between safety, liquidity, and profitability, appropriately increase the proportion of medium and long-term liability funds, improve the degree of asset and liability term matching, and hold the bottom line of liquidity safety. Support financial asset management companies to supplement capital through the issuance of financial bonds, asset securitization products, preferred shares, secondary capital bonds, and perpetual capital bonds, and further broaden the sources of funds in accordance with laws and regulations. (12) Continuously Promote Slimming and Strengthening. Adhere to returning to the origin and focusing on the main business, abandon the extensive development model, prudently and orderly promote the optimization and integration of subsidiaries, further highlight the main responsibilities and businesses, and continuously improve the efficiency of resource use.Strengthen the management of existing subsidiaries, effectively fulfill the group's control responsibilities, and implement consolidated and penetration management. Strengthen the management of overseas non-financial subsidiaries, prudently control the deployment of new businesses, and enhance the management of country and exchange rate risks. V. Adhere to strong and strict supervision, continuously improve the quality and efficiency of supervision. (13) Continuously improve the regulatory system. Strengthen the construction of regulatory systems, formulate or revise regulations that adapt to the business and risk characteristics of financial asset management companies, including institutional management, capital supervision, and asset classification, and gradually build a multi-level, wide-coverage, and differentiated regulatory system. Improve the risk early warning mechanism, implement early risk intervention, and prevent risk accumulation. Establish and improve a hierarchical and classified regulatory mechanism, reasonably match regulatory resources and measures according to the company's risk status, and strengthen differentiated supervision. (14) Strengthen supervision in key areas. Strengthen corporate governance supervision, enhance continuous supervision of key areas such as shareholder behavior, director and executive performance, risk management, and internal control. Strengthen supervision of key business segments such as non-performing asset valuation, acquisition and transfer, and asset disposal. Strengthen the monitoring and evaluation of distressed enterprise relief businesses, and take timely regulatory measures for emerging risk issues. Implement penetration supervision on businesses conducted through special purpose vehicles. Strictly implement relevant regulatory policies for local government financing platforms, and strictly prohibit financial asset management companies from adding any form of local government hidden debt. Strengthen the supervision of related-party transactions to prevent interest transfer and regulatory arbitrage. Strengthen the supervision of branches, and promote the improvement of risk prevention and internal control compliance management levels of branches. Closely monitor the business and risk status of subsidiaries, and strengthen consolidated supervision. Cooperate with relevant industry authorities to strengthen the supervision of intermediary institutions providing accounting, auditing, asset valuation, credit rating, and legal consulting services to financial asset management companies. (15) Strengthen the investigation and punishment of illegal and non-compliant behaviors. Adhere to the principles of "long teeth and thorns" and "edges and corners", seriously investigate and punish illegal and non-compliant behaviors according to law, and effectively increase the cost of illegal and non-compliant behaviors. At the same time, adhere to the principle of appropriate punishment, accurately distinguish between institutional and individual responsibilities for illegal and non-compliant behaviors, and improve the accuracy and effectiveness of administrative penalties. For clues of disciplinary violations, crimes, and other illegal activities discovered in regulatory work involving staff of financial asset management companies, promptly transfer them to disciplinary inspection and supervision authorities or judicial authorities according to law, and jointly promote the "three no's" (no corruption, no bribery, no misconduct), and severely crack down on financial crimes. Urge financial asset management companies to establish and improve long-term mechanisms for warning education, strengthen the reflection and reporting of typical cases of illegal and non-compliant behaviors, and use cases as a mirror, promote governance, and promote reform. (16) Strengthen the construction of the regulatory team, and enhance the integration and linkage of various types of supervision. Adhere to the principles of law-based supervision and supervision for the people, cultivate a regulatory spirit of dedication, courage, expertise, and strict accountability, and form a serious regulatory atmosphere. Strengthen the professional construction of the regulatory team, and continuously improve regulatory capabilities. Strengthen the connection and information sharing between off-site supervision and on-site inspections, investigations, and market access, and enhance regulatory linkage. Strengthen communication and linkage with the superior party committees, disciplinary inspection and supervision departments, and audit departments of financial asset management companies, and form a collaborative force.

LME copper opened at 9,702.0 overnight, reaching a high of 9,721.0 and a low of 9,670.0 during the session, showing a fluctuating trend overall.