[SMM Express] China's mainstream consumption areas saw secondary aluminum alloy ingot inventory increase by 112 mt from the previous trading day to 30,900 mt today, continuing a slight inventory buildup trend.

[Inventory Buildup and Macro Tailwinds Offset Each Other, Aluminum Prices Trade in a Range] The risk of supply disruptions to aluminum outside China has not yet subsided, and the ex-China aluminum ingot supply-demand gap will continue to provide support for aluminum prices. Meanwhile, the continuation of higher-than-expected inventory buildup in China will weigh on domestic aluminum prices. At the same time, tightened invoicing regulations may lead to structural tightness in spot cargo, and the weakening spot market will further limit upside room for domestic aluminum prices. Close attention should be paid to the potential emergence of a turning point in China's social inventory, which could drive a rebound and rise in aluminum prices.

[SMM Cast Aluminum Alloy Morning Comment: Demand Suppression and Cost Support, ADC12 Prices Move Sideways] On Monday, the ADC12 market was generally stable with slight rise. Most enterprises, influenced by the rebound in aluminum futures and rising aluminum scrap raw material costs, raised their quotes by 100 yuan/mt accordingly.

[SMM Analysis]Secondary Aluminum Operating Rate Declined in April, with Downward Pressure Persisting in May

【SMM铝合金日评】期货方面，铝合金2607合约今日呈现低开高走的反弹态势，价格在下探22910元/吨支撑位后迅速拉升，午前收盘报23255元/吨，涨幅1.09%。现货上，多数企业受铝价盘面反弹及废铝原料成本抬升影响，顺势上调报价100元/吨。预计短期内ADC12价格将在成本支撑与需求乏力的博弈下，维持窄幅震荡整理格局。

[SMM Express] Today, the inventory of secondary aluminum alloy ingots in China's major consumption areas increased by 200 mt from the previous trading day to 30,800 mt, continuing a slight inventory buildup trend.