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  The magnesium market remains stable with a strong wait-and-see sentiment; both domestic and overseas demand cool down simultaneously before the holiday [SMM Magnesium Morning Meeting Summary]

  [SMM Magnesium Morning Conference Summary: Magnesium Market Holds Steady with Strong Wait-and-See Sentiment, Both Domestic and Overseas Demand Cool Down Ahead of Holiday] On December 17, the magnesium raw material market showed divergence. The price of dolomite continued to hold up well, supported by rigid demand, while ferrosilicon, due to production halts and maintenance by some manufacturers facing losses, presented a situation of weak supply and demand, bottoming out and consolidating. Overall trading in the magnesium ingot market was sluggish, with Fugu transaction prices holding steady at 15,450-15,550 yuan/mt. Although there were efforts to hold prices firm in the afternoon, transactions remained weak. Soft domestic demand, coupled with the approaching overseas Christmas holiday leading to weaker external demand, has market expectations for the market to remain in the doldrums. Magnesium alloy prices were relatively firm, primarily supported by end-use demand leading to scheduled production, but varying orders among manufacturers resulted in a widening transaction range. Magnesium powder prices stabilized along with raw materials, with the market dominated by rigid demand transactions. Enterprises continued their sales-based production strategy, resulting in overall steady trading. It is expected that the weak consolidation trend will continue in the short term.

• Macro sentiment gradually cools, SHFE aluminum mainly drops back slightly at high levels [SMM Aluminum Morning Meeting Minutes]

  [SMM Aluminum Morning Meeting Minutes: Macro Sentiment Gradually Cools, SHFE Aluminum Mainly Pulls Back Slightly from Highs] Overall, aluminum market supply increased slightly, demand side showed resilience but overall remained weak, cost support weakened significantly, fundamentals overall tilted bearish; coupled with the realization of interest rate cut expectations triggering profit-taking, SMM expects aluminum prices to mainly pull back slightly from highs in the short term.

• Silicon Metal Market Stalemate, Polysilicon Upstream and Downstream Sentiment Divergence [SMM Silicon-Based PV Morning Meeting Summary]

  [SMM Silicon-Based PV Morning Meeting Summary] Silicon Metal: Spot silicon metal prices were basically stable. Yesterday, SMM oxygen-blown #553 silicon in east China was at 9,100-9,300 yuan/mt, and #441 silicon was at 9,300-9,500 yuan/mt. Futures prices moved sideways. The most-traded silicon futures contract closed at 8,365 yuan/mt at the end of the session, up 15 yuan/mt from the previous day. After spot-futures price spreads strengthened last week following a sharp decline in futures prices and smooth sales by spot traders, the spreads were largely stable this week. Silicon enterprises held prices firm and were not keen to sell at low prices. Spot prices remained stagnant and stable. Polysilicon: Polysilicon N-type recharging material was quoted at 49.6-55 yuan/kg, granular polysilicon at 49-51 yuan/kg, and the polysilicon price index at 51.9 yuan/kg. Market prices remained stable. Currently, top-tier enterprises showed some intention to push prices higher, but no actual transactions occurred in the market. Downstream resistance to excessively high prices was evident. Trading activity may remain weak this month, and the market requires continued monitoring.

• LME to Introduce New Open Interest Limit Rules Overnight LME Copper Fluctuated and Closed Lower [SMM Copper Morning Meeting Minutes]

  SMM Morning Meeting Minutes: LME copper opened at $11,629/mt overnight. The center of copper prices gradually moved higher initially, touching a high of $11,683/mt, then fluctuated downward to a low of $11,585/mt, followed by considerable fluctuations before finally closing at $11,619/mt, down 0.57%. Trading volume reached 19,900 lots, and open interest reached 351,000 lots. The most-traded SHFE copper contract opened at 92,210 yuan/mt overnight. It initially touched a high of 92,390 yuan/mt, then fluctuated downward to a low of 91,610 yuan/mt, followed by considerable fluctuations before finally closing at 91,830 yuan/mt, down 0.67%. Trading volume reached 56,300 lots, and open interest reached 216,000 lots.

• LME drives SHFE to weaken, SHFE zinc center declines [SMM zinc morning comment]

  [SMM Zinc Morning Comment] Overnight, the most-traded SHFE zinc 2602 contract opened at 23,005 yuan/mt. At the beginning of the session, SHFE zinc briefly rose to touch a high of 23,025 yuan/mt, then bulls reduced their positions, causing SHFE zinc to fluctuate downward throughout the session, hitting a low of 22,860 yuan/mt toward the end. It finally closed down at 22,870 yuan/mt, falling 175 yuan/mt, a decrease of 0.76%. Trading volume dropped to 55,403 lots, and open interest decreased by 1,425 lots to 81,731 lots.