EAF steelmakers cut production on tighter scrap supply

[SMM News Flash] Inventory of secondary aluminum alloy ingots in major domestic consumption areas decreased by 364 mt MoM from the previous day, with destocking mainly concentrated in the Foshan area.

[smm aluminum alloy futures review] the most-traded al2604 futures contract fluctuated upward today. after a slight pullback in the early session, it stabilized and continued to rise in the afternoon, reaching the day's high at the close. it closed at 23,180 yuan, up 450 yuan/mt from the previous close, with a gain of 1.98%. trading volume was 14,947, and open interest was 6,875, mainly due to short positions being reduced. during the day, trading volume slightly increased while open interest decreased, indicating a rise on reduced positions. the price broke through the recent range, closing with a bullish candlestick. the kdj indicator turned upward, suggesting that bulls had an advantage in the short term, and the sentiment in the futures market was relatively strong.

[Secondary Aluminum Alloy Daily Review] Today, the quotations in the secondary aluminum alloy market were generally raised. Before noon, manufacturers generally increased prices by 100 yuan/mt, and some enterprises, supported by bullish expectations and low finished product inventories, raised their prices by up to 200 yuan/mt. In the afternoon, futures significantly surged, further strengthening market sentiment, and some manufacturers followed suit with another price hike, resulting in a cumulative increase of 100-400 yuan/mt for the day. As enterprises gradually resumed production, market supply slowly recovered, and willingness to sell among manufacturers improved; however, the pace of resumption of work downstream after the holiday was relatively mild, and the release of orders remain