Shanghai aluminum rose sharply and its performance remained strong

Externally, the existing home sales data released by the United States last night fell more than expected, but Brexit concerns may lead consumers to cut back on spending, and the US dollar index fluctuated downward to enhance market risk appetite, and London aluminum closed up $8, or 0.
49%, at night at $8 to $1636; Jinlun aluminum fluctuated in a narrow range, temporarily blocked around $1640, and is expected to continue to consolidate
in the short term.

In terms of the market, yesterday's Shanghai aluminum ingot to the current month premium of 80-100 yuan / ton, the circulation of goods continued to be tight, the spot premium expanded, Shanghai holders sold at a high price, middlemen are difficult to have profit margins to replenish, the downstream does not recognize the price, supply and demand saw again
.
The supply side continues to accelerate recovery, and the deterioration of supply and demand in the medium term will continue to put pressure on aluminum prices; However, low social inventories and high spot premiums have supported short-term aluminum prices, and rapid decline in aluminum prices is unlikely
.

In terms of inventory, the latest inventory of London Metal Exchange (LME) on the 29th was 2,393,600 metric tons, down 6,700 metric tons from the previous trading day, and the latest inventory of aluminum alloy was 11,900 metric tons, unchanged from the previous trading day
.

On the market, focusing on the performance of Shanghai aluminum at the 12,500 pressure level, we tend to have limited space above the aluminum price, and wait and see for a suitable short selling opportunity
.
The futures market is risky, and the operation needs to be cautious
.