SHFE Cast Aluminum Alloy Warrants Drop to 50,319 mt, Down 1,109 mt from Previous Day

[High Inventory Combined With Macro Headwinds Leads to a Phased Pullback in the Global Aluminum Market Risk Premium] Continued destocking in LME inventory provided bottom support for LME aluminum, but tightening liquidity and profit-taking by bulls left insufficient momentum for further gains, and the backwardation structure weakened somewhat. China’s social inventory rose to a seasonal high for the past five years, and the inventory buildup cycle has yet to end. High inventory and weak spot fundamentals jointly suppressed upward momentum. Divergence in domestic and overseas drivers continued, the SHFE/LME price ratio kept weakening, and the market was mainly under pressure in the short term.

[SMM Cast Aluminum Alloy Morning Comment: Aluminum Alloy Futures Fell Sharply, and Spot Prices Fluctuated Downward] Price fluctuations intensified during the week, and strong wait-and-see sentiment prevailed in the market. Most downstream players chose to digest inventories or purchase as needed, with insufficient willingness to rush to buy amid continuous price rise. Restocking after the price decline also appeared cautious, and overall consumption saw limited release. In terms of supply...

[SMM Aluminum Price Weekly Review: Weak Macro Conditions Fueled Risk-Off Sentiment, and Aluminum Prices Remained Primarily Under Pressure at High Levels in the Short Term]