Latest Update in the SMM Magnesium Market

The steel scrap purchase price adjustment of Henan Anyang Steel has been updated today. If needed, feel free to contact us!

[SMM Morning Meeting Summary: Trump Launches Tariff Investigation on Copper Amid Chile's Worst Power Crisis in Nearly a Decade] Last Friday evening, LME copper opened at $9,797/mt, peaked at $9,822.5/mt, and dipped to a low of $9,761.0/mt during the session, eventually closing at $9,793.0/mt. The overall trend showed an initial rise, followed by a decline and then fluctuations, with a 0.45% change. Trading volume was 15,419 lots, and open interest was 302,095 lots. Last Friday evening, the most-traded SHFE copper 2504 futures contract opened at 80,120 yuan/mt, reached a session high of 80,160 yuan/mt, and dropped to a low of 79,690 yuan/mt, finally closing at 79,880 yuan/mt. The overall trend exhibited a fluctuating downward pattern, with a 0.00% change. Trading volume was 14,333 lots, and open interest was 143,098 lots.

[3.17 Morning Meeting Summary] Last week, the overall circulation in the nickel salt market was relatively low. On the supply side, the high volatility of LME nickel prices led to severe losses for nickel salt smelters, further fueling their sentiment to stand firm on quotes. Some nickel salt smelters may consider production cuts due to resistance from losses. Currently, inventory levels remain low.

[SMM Morning Comment on Alumina: Spot Alumina Prices Decline, Short-Term Weak Performance Under Surplus Pattern] Recently, the tug-of-war between alumina buyers and sellers continues, with sporadic spot transactions in the alumina spot market. Transaction prices have seen a further slight decline, with the center generally at 3,200-3,300 yuan/mt. The domestic alumina export window has closed, and the total registered warrants in alumina futures delivery warehouses have exceeded 200,000 mt. Subsequent alumina exports and transfers to delivery warehouses are unlikely to provide sustained demand. On the fundamentals side, in the short term, alumina operating capacity is expected to fluctuate, with no significant decline anticipated. This week, the total national operating capacity of alumina reached 88.26 million mt. The fundamentals of alumina remain in a slight surplus pattern, and spot alumina prices are expected to fluctuate downward in the short term.

[US Dollar Index Remains at a Four-Month Low, High Copper Prices Suppress Consumption] Macro side, the US consumer confidence index in March fell for the third consecutive month, while consumers' expectations for future inflation increased, with the annual inflation rate for the next year expected to reach 4.9%, the highest level since 2022. Additionally, the US Commerce Secretary stated that tariffs on imported cars might be imposed next month. The US dollar index jumped initially and then pulled back, still hovering at its lowest level in over four months, providing support for copper prices.

[SMM Zinc Morning Comment] Last Friday, SHFE zinc recorded a bearish candlestick, yet the MACD bullish bar expanded. On the macro side, domestic consumption policies provided a boost, coupled with expectations for production cuts at overseas smelters on the fundamentals side, leading zinc prices to fluctuate at highs.

[SMM Morning Meeting Summary: Tight Supply-Demand Pattern for Tin Ore, SHFE Tin Prices Likely to Maintain a Fluctuating Trend] In terms of international macro factors, the escalation of armed conflict in the DRC has significantly impacted global tin ore supply. Alphamin's suspension of operations at its Bisie mine has further heightened market concerns over the supply side. Meanwhile, a weaker US dollar and favorable domestic policies have also provided support for tin prices. From the perspective of the domestic tin ore market, the overall supply-demand pattern remains tight. In terms of supply, although the operating rates of refined tin smelters in Yunnan and Jiangxi have slightly rebounded, they are still constrained by tight raw material supply. Additionally, the resumption progress in the Wa State mining area in Myanmar has fallen short of expectations, and the shutdown of the Bisie mine has further widened the supply gap. On the demand side, downstream solder enterprises primarily make just-in-time procurement, with high prices suppressing restocking willingness. However, the "trade-in" policy and high production schedules in the home appliance sector provide potential support for demand. Social inventory remains at low levels. Considering the dynamics of domestic and overseas markets and policy changes, tin prices are expected to continue a fluctuating upward trend next week. Investors should monitor developments in the DRC situation, the resumption progress in Wa State, and macro policy directions. Cautious operations are advised to avoid the risk of chasing high prices...

[SMM Morning Meeting Summary: US Consumer Confidence Index Falls Short of Expectations, LME Zinc Jumps Initially and Then Pulls Back] Last Friday, LME zinc recorded a four-day winning streak, with the center of the daily candlestick moving upward, supported by various moving averages below. Last Friday, the US dollar index operated at a low level, providing support for base metal prices, while the US March Consumer Confidence Index declined, and LME zinc jumped initially and then pulled back.