Investing.com -- Jefferies analysts expect metals and mining stocks to keep rising as geopolitical tensions intensify following the Iran conflict. The firm's long-held view sees the sector's six-month rally driven by elevated geopolitical risks, a weakening dollar, and inflation concerns.

Jefferies noted that while the weekend's developments are unfortunate, they are fundamentally positive for the sector. A potential Strait of Hormuz closure could disrupt supply chains, with around 9% of global aluminum production from Gulf states dependent on that route.