Jin10 Data Recap: Central Bank Reverse Repo, Democrats Take Control of Congress, Oil Prices Plunge

On November 5, according to Jins Data, key overnight and early-morning news compiled on November 5 indicates that the central bank conducted a 300 billion yuan outright reverse repo operation; the US midterm elections saw a blue wave with Democrats retaking control of Congress; spot gold and silver surged overnight, crude oil plummeted, the Dow Jones Industrial Average rose 3%, and the US 2-year Treasury yield fell by over 5 bps.

On the domestic front, five departments issued the "Action Plan for Implementing a Comprehensive Conservation Strategy," calling for accelerated deployment of a series of rare and precious metal resource recycling projects. The Ministry of Commerce stated that recent China-Canada economic and trade consultations have achieved positive progress, including the further extension of relevant exemption measures under the preliminary joint arrangement. Additionally, the compilation methodology for the SSE Hang Seng Stock Connect Index has been revised to exclude securities with an average daily turnover of less than 5 million HKD over the past year.

Internationally, following setbacks in the midterm elections, Trump stated that he is willing to cooperate with the Democratic Party, fears no impeachment, will not replace the Secretary of Defense, and acknowledged that war was a key factor in his defeat, adding that he would personally decide when the conflict ends. The US Treasury Department adjusted its phrasing, leaving the door open for adjustments to auction volumes. Regarding the Middle East situation, international crude oil briefly plunged 10% as markets increased bets on de-escalation of tensions with Iran; Lebanese media reported that Gulf states oppose renewed war against Iran, and US-Iran negotiations are expected to yield clearer progress by Friday.