[Top-Tier Players Drove Prices Up; GO Silicon Steel Prices Held Up Well This Week] This week, spot cold-rolled grain-oriented silicon steel prices were raised by 100 yuan/mt overall, with market transactions performing moderately. According to market feedback, ferrous metals futures fluctuated and pulled back this week, weakening raw material cost support and putting some pressure on spot market sentiment. However, Baowu's June pricing policy raised the base price of GO silicon steel by 200 yuan/mt, with grades 75 and above raised by an additional 100 yuan/mt, boosting market sentiment and driving up quotes for state-owned resources.

US April PPI was up 6% YoY, the highest since December 2022, versus expectations of 4.9%, with the prior reading revised from 4.00% to 4.3%. April PPI was up 1.4% MoM, the highest since March 2022, versus expectations of 0.5%, with the prior reading revised from 0.50% to 0.7%.

[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 Aluminum News] According to CAAM data, auto production and sales in April reached 2.575 million units and 2.526 million units respectively, down 11.7% and 12.9% MoM respectively, and down 1.7% and 2.5% YoY respectively. NEV production and sales in April reached 1.32 million units and 1.344 million units respectively, up 5.5% and 9.7% YoY respectively. NEV sales accounted for 53.2% of total new vehicle sales. According to CAAM's analysis, auto production and sales in April declined slightly compared to the same period last year, with cumulative production and sales declines narrowing further. Specifically, domestic demand still needed improvement and stimulus; exports continued to grow rapidly, providing stable support to the overall market. In detail, the passenger vehicle market decl

After the holiday, ferrous metals opened higher, but subsequent trends diverged—steel products and iron ore fluctuated at highs, while coke surged before pulling back. The strong rally during the week was mainly driven by disturbances outside China. During the holiday, the US-Iran standoff escalated with widening negotiation gaps, pushing raw materials to lead the gains in ferrous metals. Combined with capital inflows after the holiday, this provided a clear upward drive for prices. In the latter half of the week, market rumors suggested that Iran and the US had reached a consensus on easing the US naval blockade in exchange for the gradual reopening of the Strait of Hormuz, and bears increased their positions in coke. Data on the five major steel products were released, showing weakness in both supply and demand, with inventory not accumulating after the holiday. On the spot market side, traders had a strong willingness to hold prices firm, and purchases were made in both futures and spot cargo at low price levels...

The core logic of the South American steel market is that end-user demand drives everything. Consumption demand is the starting point, filled jointly by local production and imports; imports act as a regulating valve rather than a driving force.