The growing concerns regarding declining demand due to China’s strict COVID-19 lockdowns caused a selloff in aluminum stocks. Last week, aluminum prices plunged to four-month lows amid concerns over slowing manufacturing activity, particularly in China. Manufacturing activity in the United States and the eurozone also slowed down.
However, with the broad use of aluminum in various industries, including construction, transportation, packaging, foundry, and electronics, fundamentally sound aluminum companies have bright growth prospects over the long term and are well-positioned to rebound quickly.
