The fundamentals are weak, and the situation will not change, and Shanghai aluminum is under pressure to weaken

The real estate data and employment rate released by China on Monday performed poorly, superimposed on warehouse receipts/social inventories, etc.
increased significantly, and the power of bears condensed, although the power rationing policy in many places has led to a certain reduction in supply, especially in the case of strong production cuts in Sichuan, it is difficult to resist the weakening of macro and weak demand, which suppresses
prices.

Weak demand is still one of the main factors affecting the weakening of aluminum prices, poor real estate data drags down market confidence, the effectiveness of the "guaranteed delivery" policy remains to be seen, short-term demand performance is difficult to improve, and aluminum ingot social library continues to accumulate, an increase of 5,000 tons
from last Thursday.
At present, the overall consumption of aluminum terminal is still in a weak state of the off-season, and it may continue to put pressure
on prices before the arrival of the peak season.

Shanghai aluminum continued to be weak during the day, but the decline narrowed during the day, mainly due to the high price of electricity in Europe, the high cost of aluminum smelters, and the domestic Sichuan industrial power almost completely stopped, the supply side was disturbed, but the fundamentals were weak, and the demand side was still not good, coupled with the continued accumulation of aluminum ingot social library, aluminum prices continued to weaken.

In summary, although the supply pressure is reduced, it is difficult to change the weak pattern of demand, and the fundamentals are difficult to support the rise of aluminum prices, but the aluminum inventory in Shanghai and London is at a low level, which has some support
for aluminum prices.