Shanghai aluminum shows a strong trend in the short term, pay attention to downstream demand

In terms of industries, in March 2019, the added value of industries above designated size increased by 8.
5% year-on-year, 3.
2 percentage points
faster than in January-February.
From a month-on-month perspective, in March, the added value of industries above designated size increased by 1%
over the previous month.
In the first quarter, the added value of industries above designated size increased by 6.
5%
year-on-year.

In terms of the market, aluminum futures maintained range-bound volatility before noon, slowly rising
.
The transaction price in Shanghai began to be concentrated between 13950-13970 yuan / ton, and the monthly discount was 20 yuan / ton ~ flat water, an increase of nearly 130 yuan / ton from the previous day, the transaction price of Wuxi was between 13950-13970 yuan / ton, and the transaction price of Hangzhou was between
13970-13990 yuan / ton.
The market supply is more sufficient, due to the slow rise of aluminum in the morning, traders are mostly indirect goods, but the holders are slightly reluctant to sell, 11:00 aluminum maintained a stable high, the market shipments gradually increased, overall traders and middlemen trading is very enthusiastic
.
Due to the sharp rise in prices, downstream fear of heights emerged, and the performance was wait-and-see, basically based on on-demand procurement
.

In terms of inventories, LME aluminum stocks were 1,068,325 tons on April 16, down 6,125 tons from the previous session; As of April 12, 2019, electrolytic aluminum stocks on the Shanghai Futures Exchange were 701,138 tons, down 20,954 tons
from the previous week.
From a seasonal perspective, current inventories remain at a high level
compared to the past five years.

The main 1906 contract of Shanghai aluminum fluctuated stronger during the day, as aluminum production continued to decline in March, as well as the decline in domestic aluminum inventories, supporting aluminum prices to show a strong trend in the short term, but whether it can further rise, it is necessary to pay attention to downstream demand
.
In the spot market, the number of shippers is gradually increasing, and on the whole, traders and middlemen are very enthusiastic
.
Due to the sharp rise in prices, downstream fear of heights emerged, and the performance was wait-and-see, basically based on on-demand procurement
.
On the technical side, the Shanghai aluminum 1906 contract showed an increase, but there is still great resistance near the 14,000 yuan / ton mark, and short-term attention is paid to whether it can effectively stand above
14,000 yuan / ton.