Citi Research remarked in a report that the strong rebound in copper, aluminium, gold and coal stocks has taken the market by surprise amidst the current state of real estate demand on the mainland, with many believing that prices now reflect the positives and that the year's bullishness may be over. While agreeing that some of the positive macro sentiment has now been reflected, the broker believed the momentum in metals and resources stocks remained strong and could be poised for the next wave of fundamental surprises.Citi forecasted potential restocking demand in the manufacturing sub-sector, supported by the equipment replacement cycle, to be a key driver for resources stocks over the next 3-4 quarters. Supply constraints in copper and aluminium meant prices and margins would remain higher for longer. The broker ranked resources stocks in order of aluminium, copper, gold, coal, lithium, steel and cement.Related NewsCiti Lifts ZIJIN MINING (02899.HK) TP to $21.9, Keeps Stock as Sector Top PickCiti expected aluminium, copper and gold stocks to continue to outperform and reiterated that copper and aluminium are the best investments in China's resources sector this year. Gold price is meanwhile likely to continue rising due to geopolitical tensions, inflation and other factors. The broker's top picks were CHINAHONGQIAO (01378.HK) -0.360 (-3.255%) Short selling $67.79M; Ratio 16.023% , CHALCO (02600.HK) -0.060 (-1.136%) Short selling $25.99M; Ratio 14.612% , CMOC (03993.HK) -0.220 (-2.883%) Short selling $29.30M; Ratio 9.068% and ZIJIN MINING (02899.HK) -0.160 (-0.908%) Short selling $169.61M; Ratio 27.087% .Meanwhile, Citi removed CHINA SHENHUA (01088.HK) +0.200 (+0.626%) Short selling $173.26M; Ratio 23.764% from its top picks list after a year-to-date share price rally. The broker believed that sentiment may be shifting away from SOE reforms and towards higher metals investments as demand from the manufacturing sector improves. The broker remained positive on the strong free cash flow of coal companies and maintained its Buy rating on SHENHUA.(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2024-04-29 16:25.)Related NewsUBS: ZIJIN MINING 1Q24 Results In Line; Copper, Gold Unit Costs Improve but Gold Output/ Sales Fall QoQ