Aluminium Ingot Social Inventory Up 60,000 mt on Week

SHANGHAI, Feb 24 (SMM) - SMM data showed that the aluminium ingot social inventory in China totalled 1.1 million mt as of February 23, 2022, up 60,000 mt from last Thursday February 17, with Gongyi (+25,000 mt), Wuxi (+20,000 mt), Nanhai (+15,000 mt) being the major contributors to the overall increase. The inventory in Hangzhou, Chongqing and Linyi was flat.

Though the inventory in Gongyi, Wuxi and Nanhai was still growing, the speed has slowed down from a week ago. In terms of spot, the smelters and traders were highly willing to make shipments, but the downstream demand was suppressed by the high prices. Meanwhile, the recovery of demand still needs time. As such, the downstream was sluggish in purchasing.

It is expected that the inventory will keep rising slowly in the following week, and the market shall watch the arrivals and the marginal changes of the consumption side.