SMM Morning Comment For Aluminum Market July 8

Last Friday night, the most-traded SHFE aluminum 2408 contract opened at 20,400 yuan/mt, reached a high of 20,480 yuan/mt, a low of 20,365 yuan/mt, and closed at 20,415 yuan/mt, up 115 yuan/mt from the previous trading day, with a gain of 0.57%.
Last Friday, LME aluminum opened at $2,526.5/mt, reached a high of $2,557/mt, a low of $2,521.5/mt, and closed at $2,539.5/mt, up $12.5/mt from the previous closing price, with a gain of 0.49%.

Macro side, the US non-farm payrolls data further strengthened market expectations of a US Fed rate cut. Fundamentals side, domestic aluminum supply is increasing, with some capacity yet to be resumed. Downstream aluminum processing and end-user demand have entered the off-season, with operating rates declining. The aluminum market fundamentals lack driving factors, and short-term aluminum prices are expected to fluctuate. However, close attention should be paid to macro sentiment changes that may cause aluminum price volatility.