Geopolitical Disruptions Pushed Up Costs, Weak Demand Constrained Gains [SMM Cast Aluminum Alloy Morning Comment]
[SMM Cast Aluminum Alloy Morning Comment: Geopolitical Disruptions Push Up Costs, Weak Demand Caps Gains] The US-Iran conflict disrupted passage through the Strait of Hormuz, driving market sentiment and pushing up aluminum prices. On Tuesday, spot primary aluminum surged 300 yuan/mt from the previous trading day, and the aluminum scrap market generally followed the upward trend. The tightening regulatory stance on the "reverse invoicing" policy remained unchanged, with compliance costs in the aluminum scrap recycling process staying elevated, and available supplies with proper invoices remained tight.