SMM April 10: SMM aluminum alloy ADC12 price
ADC12 Price Daily Review:
[crude oil production aluminum ingot inventory greatly reduced aluminum prices continue to rise demand recycled aluminum ADC12/ aluminum prices continue to shrink] today's A00 aluminum prices continued to rise 120 yuan / ton, mainly due to last night OPEC reached an agreement to reduce production and yesterday's inventory plunged 69000 tons, however, these factors are relatively limited price support, first, although OPEC production has been reduced, but its strength is not as strong as expected, crude oil prices fell back; Second, the inventory of aluminum ingots has dropped sharply, but the main reason lies in the short-term consumption of bottom hoarding and recycled aluminum by downstream enterprises, which does not fully represent a great improvement in consumption. The overall price of recycled aluminum continued to fall, with the specific price for large recycled aluminum enterprises falling to 13000 yuan / ton, mainly due to the significant decline in the prices of high-priced enterprises previously quoted. The cash quotation of small and medium-sized enterprises remains 12800 yuan / ton, and a small number of low prices can even be as low as 12600 yuan / ton. On the whole, following the decline in southwest prices, prices in South China have also gradually begun to fall. The main reason is that high-priced enterprises were also forced to cut prices because of order pressure. On the export side, due to almost no demand from Japan and South Korea, export prices rose slightly, low prices disappeared, the overall price rose to 1350 US dollars / ton, the transaction is still poor. In April, the recycled aluminum industry was faced with the double blow of insufficient supply of waste aluminum to raise costs and lower downstream demand to depress the selling price. Under the current game, some recycled aluminum enterprises have to stop production and look for materials, and waste aluminum recyclers also greatly increase labor costs because of the poor liquidity of waste aluminum. Before the scrap aluminum holder cleans up the high price inventory before the festival, the liquidity of the waste aluminum market is difficult to obtain the significant improvement.