Aluminium Prices are Unlikely to Grow in May Amid Upcoming Wet Season in South-West China

SHANGHAI, May 15 (SMM) - In early May, the US Fed hiked the rate by 25 basis points as expected to 5%-5.25%, the highest since August 2007. The US CPI for April rose 4.9% year-on-year, the smallest YoY increase since April 2021, and the year-on-year rise in core CPI slowed down to 5%. The year-on-year growth rates of these two data were weaker than the previous readings. The slowdown in inflation not only boosted the market's confidence in the Fed's pause in raising rates but also made investors worry that the slowdown was due to the looming recession. In China, the manufacturing PMI, non-manufacturing PMI and composite PMI output index for April were 49.2%, 56.4% and 54.4% respectively, which were 2.7, 1.8 and 2.6 percentage points lower than the previous month. The government still focuses on promoting consumption and preventing economic risks. In the case of unstable economic recovery, the prudent fiscal policy and proactive monetary policy will not be lifted in the short term.