SMM

[SMM Aluminum Morning Meeting Summary:] Recently, the macro front and fundamentals have shown a tug-of-war between longs and shorts. In the short term, aluminum prices may maintain a fluctuating trend: on one hand, inventory pressure and cost easing limit the upside room; on the other hand, expectations of macro policies and hopes for consumption recovery provide underlying support. In Q2, with the arrival of the traditional consumption peak season and the release of policy dividends, aluminum prices are expected to strengthen amid fluctuations driven by demand recovery. However, attention should be paid to the systemic risks brought by an unexpectedly rapid tightening of overseas liquidity.