Aluminum prices will continue to face strong upward pressure in the short term

On the macro front, overseas, the recent market expectations for 22-year global economic growth have further declined, tightening monetary policy has also made the US dollar continue to strengthen, and non-ferrous metals are under strong pressure
.
Domestically, the epidemic has broken out in many points and a large area, and under strict control policies, on the one hand, it has had a negative impact on market sentiment, and on the other hand, it has also made economic growth face a severe test
.

From a fundamental point of view, the growth of the supply side of electrolytic aluminum has accelerated, but the demand side has been suppressed
by the epidemic in the short term.
Last week's inventory data was significantly repaired, reflecting that the enthusiasm for downstream delivery was not bad, but the operating rate of leading processing enterprises fell sharply month-on-month, indicating that the impact of the epidemic on terminal demand has not been significantly alleviated
.
At the same time, from the first quarter macro data released last week, the real estate sector, which is the largest terminal of aluminum downstream, is still very sluggish, dragging down market sentiment
.

However, in the long run, supported by the loose macro policy in China, it is expected that the demand for electrolytic aluminum will be significantly released
after the epidemic is gradually controlled.
In summary, it is expected that aluminum prices will continue to face strong upward pressure in the short term, but there is still upward momentum in the medium and long term
.