Expectations of Middle Eastern supply recovery rise, aluminum prices may fall for the fourth consecutive week

Golden Ten Data reported on June 26 that as Asian technology stocks faced another round of sell-offs, combined with a stronger US dollar and the restoration of supply from the Middle East, aluminum prices have fallen for a fourth consecutive week, marking the longest losing streak since April 2025. After a temporary peace agreement was reached between the US and Iran, the market expects aluminum supply from the Middle East to resume, a region that accounts for nearly one-tenth of global aluminum production. Aluminum prices are expected to fall by about 7% this week. However, Thursday’s cargo ship attack has once again raised concerns about the safe passage through the Strait of Hormuz and heightened uncertainty over future shipping. At the same time, industrial metals, including copper, were also hit on Friday by the new wave of sell-offs in Asian technology stocks. Given their widespread use in electronics, cables, and the construction of data centers powered by artificial intelligence, metal prices usually move in tandem with technology stocks. Jinrui Futures stated in a report that amid a short-term bearish macro sentiment, aluminum prices are likely to remain weak and volatile.