Short-term Bull Momentum Repair, Aluminum Alloy Drifting Higher; Cautious Price Adjustments in Spot Market, Sluggish Transactions [ADC12 Daily Price Review]

Futures: The most-traded 2609 aluminum alloy contract drifted higher overall in the day session today. It opened at 22,775 yuan/mt in the morning session, rallied to an intraday high of 22,900 yuan/mt before pulling back slightly, and dipped to an intraday low of 22,655 yuan/mt, with a daily high-low spread of 110 yuan/mt. The contract closed at 22,800 yuan/mt at midday, up 55 yuan/mt or 0.24% from the settlement price. Short-term bullish momentum saw some restoration, with trading volume reaching 5,823 lots and open interest edging down by 49 lots as funds slightly exited. Prices rebounded on support from the prior low of 22,230 yuan/mt, extending a short-term consolidation and repair pattern.

Spot: SMM ADC12 prices held steady at 24,000 yuan/mt from the previous trading day today. Buoyed by the continuous rebound in spot aluminum prices and aluminum alloy futures, some enterprises followed suit by raising their offers by 50-100 yuan/mt, strengthening cost support. However, downstream demand remained lackluster with no significant improvement, and trading stayed sluggish, prompting some enterprises to hold prices steady while adopting a wait-and-see stance. Amid the interplay of high costs and weak demand, the market generally focused on cautious pricing adjustments. ADC12 prices are expected to continue moving sideways in a narrow range in the short term, with further upside awaiting a boost from end-use demand.