SMM Aluminum Morning Meeting: Dollar Index High, Rate Cut Expectations, Aluminum Inventory Declines

[SMM Aluminum Morning Meeting Summary: US Dollar Index Hovers Near Two-Year High, Aluminum Ingot Inventory Continues to Decline]

Macro front, with the slowdown in market inflation data, expectations for US Fed interest rate cuts in March next year have resurfaced. However, the market is weighing the prospect of relatively small rate cuts next year. The US dollar index hovers near a two-year high, putting pressure on the performance of non-ferrous metals.

Inventory side, driven by low aluminum prices, pre-holiday downstream stockpiling combined with year-end supplier inventory clearance has kept aluminum ingot inventory on a declining trend.