CITI: BASE CASE IS HEADWINDS FROM US TARIFF AND INVENTORY DYNAMICS SEE COPPER PRICES MODERATE TO $12K/T BY 4Q’26

Key News 1. The People's Bank of China (PBOC) increased its gold reserves for the 18th consecutive month. 2. The State Administration of Foreign Exchange (SAFE) reported that my country's foreign exchange reserves reached $3.4105 trillion at the end of April, an increase of $68.4 billion from the end of March. 3. The PBOC announced a net injection of 40 billion yuan into the market through open market operations of treasury bonds in April. 4. Brazil announced visa-free entry for Chinese citizens. 5. China's lithium battery exports surged by over 50% in the first quarter, with domestically produced energy storage exports experiencing explosive growth. 6. The Ministry of Industry and Information Technology (MIIT) approved the technical test frequencies for the sixth-generation mobile communication system. 7. The "Administrative Measures for Pharmaceutical Representatives" were released, clarifying nine prohibited situations to strictly prevent commercial bribery. 8. A spokesperson for the Ministry of Commerce answered reporters' questions regarding the EU's ban on providing financial support for projects using Chinese inverters. Individual Stock News 1. Kweichow Moutai: A total of 1.0833 million shares were repurchased, costing 1.521 billion yuan. 2. Yongshan Lithium: Planning to sign an investment agreement for a lithium salt project with the Management Committee of Nanchong Economic Development Zone, Sichuan Province. 3. Zhongke Electric: Hard carbon anodes are in mass production, and the pilot production line for silicon-carbon anodes has been completed. 4. ST Intercontinental: The controlling shareholder has been petitioned for bankruptcy liquidation. 5. Dongyangguang (2 consecutive daily limit-up): The "Computing Power Service Procurement Framework Contract" signed between its subsidiary and a customer is currently in the performance process, and the final performance and its impact on future performance are uncertain. 6. Shennan Circuits: The PCB business benefits from the increased demand for AI computing power infrastructure hardware-related products, and the factory's capacity utilization rate remains high. 7. Jinmantang (10 daily limit-up in 12 days): Currently only undertaking a small number of commercial aerospace launch site supporting projects and data center construction projects. 8. Haichuan Intelligent: The actual controller has no plans to inject Shin-Etsu into the company within the next 12 months. The online rumor that Shin-Etsu's main product is indium phosphide substrate is a misinterpretation of its business and products.

The South Korean KOSPI index opened 135.7 points lower on Friday, May 8, a drop of 1.81%, to 7354.35.