The main force of aluminum fell sharply, and the short-term shock is expected to be weak

Market Focus: (1) The Fed will use its emergency authority to establish commercial paper financing vehicles
with the approval of the Secretary of the Treasury.
The New York Fed will provide $1 trillion
a day this week through an overnight repo operation.
(2) In 2020, the output of 1-2 alumina will be about 10.
451 million tons, a year-on-year decrease of 13%; the output of electrolytic aluminum was 5.
847 million tons, a year-on-year increase of 2.
4%; The output of aluminum products was 5.
906 million tons, a year-on-year decrease of 12.
5%.

Spot analysis: On March 18, spot A00 aluminum reported 12500-12540 yuan / ton, the average price was 12520 yuan / ton, down 80 yuan / ton
per day.
There is no procurement plan for large market players in the day, the market supply is still loose, although the holders actively ship but the supply is relatively oversupply, the price advantage is not obvious, and the middlemen receive goods flat
.
The downstream intraday receiving status has improved slightly, mainly because the price of aluminum fell to the bottom price
of some merchants.
The overall intraday transaction in East China was poor
.

Warehouse receipt inventory: Shanghai aluminum warehouse receipts totaled 301491 tons on Wednesday, a daily decrease of 2,721 tons; On March 17, LME aluminum stocks were 973,050 tons, a daily decrease of 5,400 tons, and a decline of 25 consecutive days
.

Main positions: the top 20 long positions of Shanghai aluminum main 2005 contract were 94630 lots, minus 1360 lots per day, short positions were 110186 lots, 1245 lots per day, net short positions were 15556 lots, daily increase of 115 lots, long and short were reduced, and net space increased
.

The global epidemic situation continues to intensify, the impact of the epidemic on the global supply chain will continue to expand, the global economic recession may increase, and the spread of market panic will accelerate; At the same time, domestic electrolytic aluminum production continued to grow, downstream aluminum production declined year-on-year, electrolytic aluminum inventory continued to increase, and the pressure on aluminum prices was greater
.
However, the output of domestic alumina plants has declined due to the impact of the epidemic, and the price of alumina has stabilized; The recent increase in aluminum rod processing fees has stimulated downstream production and partially supported
aluminum prices.
In terms of spot, the large intraday market has no procurement plan, the market supply is still loose, although the holders actively ship but the supply is relatively oversupply, the price advantage is not obvious, the middleman receiving goods is flat, and the downstream intraday receiving state has improved
slightly.
Technically, the main 2005 contract of Shanghai aluminum increased its position, and the mainstream position increased and decreased more, and the short-term shock is expected to be weak
.