[SMM Weekly Review: Market rigid demand procurement is nearing its end

Published: May 10, 2024 17:38

Save

[SMM Weekly Review: Market rigid demand procurement is nearing its end and transactions are becoming sluggish, spot price increases are slowing down] At the beginning of this week, due to the increase in downstream rigid demand procurement entering the market, the spot transactions in the domestic alumina spot market were relatively active. Currently, the supply side of domestic alumina plants is resuming production and reducing production in parallel, and there is no actual resumption of production for domestic mines at present. The short-term supply increment of alumina is limited, and the holders are reluctant to sell, so the spot quotations are firm, and the transaction focus has shifted significantly upward. In the later part of the week, as the large-scale rigid demand procurement nears its end, the market's fear of high prices gradually emerged, downstream optimism faded, and spot market transactions became sluggish. SMM predicts that the tight balance of domestic alumina will continue in the short term, and spot prices may remain high and volatile in the short term. Follow-up needs to continue to pay attention to the resumption progress of enterprises in Shanxi and Henan, as well as the downstream procurement rhythm.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

2 hours ago

A00 pulls back slightly, aluminum scrap remains stable overall [Aluminum Scrap Daily Review]

2 hours ago

Xinjiang Boyuan Aluminum Advances 150,000 MT Annual Capacity Project in Zhundong Economic Zone

Xinjiang Boyuan Aluminum Co., Ltd. is making every effort to advance the construction of its new-type aluminum semis project with an annual capacity of 150,000 mt. Located in the Huoshaoshan Aluminum Downstream Industrial Park of Xinjiang Zhundong Economic and Technological Development Zone, the project involves a total investment of 180 million yuan and covers an area of 64 mu. It is planned to build two standardized production workshops with a total floor area of 23,000 m². In terms of production line configuration, the project will be equipped with two aluminum rod production lines, eight cast-rolling aluminum coil and strip production lines, and one cold-rolling aluminum coil and strip production line. Once fully completed and put into operation, the project is expected to achieve an annual production capacity of 60,000 mt of aluminum wire and 90,000 mt of aluminum coil.

2 hours ago

[ADC12 Price Daily Review] Aluminum futures fluctuate at highs; ADC12 spot consolidates on a strong note

[ADC12 Price Daily Commentary: Aluminum Futures Consolidate at Highs, ADC12 Spot Consolidates on a Strong Note] The aluminum alloy 2611 contract opened at 23,430 yuan/mt today, dipped to an intraday low of 23,320 yuan/mt where it found support before gradually rebounding, fluctuated within a range of 23,320-23,560 yuan/mt throughout the day, and closed at 23,435 yuan/mt, up 0.11%.

2 hours ago