On June 9, SMM reported:
Expectations of US interest rate hikes weighed on the upward channel of SHFE aluminum. In the morning session, the SHFE aluminum 2606 contract fluctuated downward, with the overall price center moving lower compared to the previous trading day. Buying sentiment in the east China market declined today, with overall selling sentiment higher than buying sentiment. Mainstream spot transaction prices were at a discount of 70-80 yuan/mt against the SHFE aluminum 06 contract. The selling sentiment index in east China was 2.86 today, up 0.01 MoM; the buying sentiment index was 2.80, down 0.2 MoM.
SHFE aluminum futures prices continued to decline compared to yesterday's morning session. The futures-spot spread narrowed relatively. Traders in the central China market took the opportunity to hold prices firm, maintaining high premiums, to sell large volumes. Market trading sentiment edged up slightly compared to yesterday. Ultimately, the actual transaction price range in the central China market centered around a discount of 100-130 yuan/mt against the SHFE aluminum 06 contract. The selling sentiment index in central China was 2.88 today, flat MoM; the buying sentiment index was 2.22, up 0.03 MoM.
Inventory side, aluminum ingot inventory in major consumption areas fell by 0.6 MoM today, with destocking sources being Wuxi and Guangdong.
