[SMM Analysis]Cast Aluminum Alloy Futures Fell During the Week, Warrant Generation Set to Begin May Introduce New Market Variables

[Domestic Inventory Declined Slightly, SHFE Zinc Expected to Remain in the Doldrums] The most-traded SHFE zinc 2510 contract opened at 22,080 yuan/mt. After opening, it immediately fell to a low of 21,950 yuan/mt. Subsequently, a tug-of-war between longs and shorts kept the price center fluctuating rangebound around 22,050 yuan/mt. It finally closed down at 22,035 yuan/mt, falling 245 yuan/mt, a decrease of 1.10%. Trading volume increased to 120,000 lots, while open interest decreased by 6,337 lots to 71,757 lots.....

This week, market conditions showed synchronized growth in lithium carbonate and cathode material prices, with cost pass-through driving a steady increase in new battery cell prices. Supply side, speculation suggests battery cell manufacturers prioritized stabilizing prices for A-grade batteries for well-known mobile phones, further reducing sales of second-life B-grade cells, directly tightening supply of popular second-life battery cells. Demand side, overall second-life battery market demand remained stable, with downstream purchasing enterprises maintaining steady procurement needs. Supply-demand dynamics slightly pushed up prices of popular second-life battery cells, while conventional second-life cell prices were less affected by these adjustments.