SHFE Approves Doubling of Alumina Storage Capacity in Gansu Facility to 100,000 mt

[US Fed Hawkish Expectations and Easing Middle East Tensions Pressure Aluminum Prices] The acceleration of strait shipping resumption, combined with hawkish expectations from the US Fed, is causing the geopolitical premium to narrow at an accelerated pace, and LME aluminum will be under pressure in the short term. China side, the destocking pace is maintained, but the absolute inventory remains at high levels. SHFE aluminum, without new macro bullish factors, follows LME aluminum under pressure. It is expected that aluminum prices will remain in the doldrums in the short term.

[SMM Cast Aluminum Alloy Morning Comment: Bears Add Positions, Aluminum Alloy Night Session Plunges, UAE Aluminum Scrap Export Ban Takes Effect] Overnight, aluminum alloy futures weakened sharply. The night session opened at 22,850 yuan/mt, closed at 22,720 yuan/mt, down 390 yuan/mt, or 1.69%.

According to SMM surveys, although prices from Brazil and Argentina have pulled back slightly, overall price levels remain high. Going forward, the import market will continue to feature diversified sources and persistent differentiation in price spreads by country and product category.