SMM Aluminium Morning Comment (Mar 15, 2023)

SHANGHAI, Mar 15 (SMM) - The most-traded SHFE 2304 aluminium contract opened at 18,325 yuan/mt overnight and then climbed to 18,420 yuan/mt before closing at 18,350 yuan/mt, up 60 yuan/mt or 0.3%. LME aluminium opened at $2,321/mt on Tuesday and closed at $2,352/mt, an increase of $32/mt or 1.38%.

On the macro level, the US CPI was in line with expectations, thus the downward pressure on non-ferrous metals has eased. On the fundamentals side, aluminium production cuts tightened supply in the south China market. Downstream demand has gradually picked up, driving social stocks to fall. Aluminium prices are expected to move rangebound.