April 25 Shanghai aluminum afternoon comment

On the macro front, the dollar index performed strongly throughout the week last week, standing above the 101 mark, supported by the hawkish attitude of the Federal Reserve and the dovish attitude of non-US countries, and the dollar is expected to continue to remain strong
.

In terms of inventory, as of April 21, according to Mysteel statistics, China's electrolytic aluminum social inventory was 1.
047 million tons, down 18,000 tons from this Monday (April 18), the current aluminum ingot social inventory began to go to storage, the inflection point has arrived, the epidemic situation in some areas has been cleared, and demand and consumption have shown signs
of improvement.

Overseas, Australia banned the export of bauxite, alumina and related products to Russia, and the supply of aluminum ingots in foreign markets will be further reduced, and the current global supply of aluminum ingots is still tight
.

In general, March and April have always been the peak season of the electrolytic aluminum market, and the outbreak of the epidemic has not only led to the obstruction of logistics and transportation in many places, but also inhibited the operating rate of downstream aluminum processing enterprises and led to weak demand; The situation has improved recently, multi-department joint guarantee of smooth logistics, central bank RRR reduction is good for the market, government tax rebates and tax cuts help to resume work and production, multiple measures are favorable to the market, and aluminum prices are expected to remain strong and volatile
.