echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Chemicals Industry > New Chemical Materials > The weakening of the Shanghai aluminum shock is expected to further pullback

    The weakening of the Shanghai aluminum shock is expected to further pullback

    • Last Update: 2022-12-20
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com

    Last week, the Shanghai aluminum volatility weakened, and the total position rose from the previous two weeks, indicating that the power of hedging is strengthening
    as prices fall.
    Affected by the domestic and foreign stock markets and copper breakthroughs, it once played a positive role in colored sentiment, but from the results, there was a "heart" weakness
    .

    Shanghai aluminum

    At the macro level, the Trump farce has gradually fallen, the epidemic in Europe and the United States has further lost control, the domestic imported epidemic has begun to rise, and the risk concerns of the capital market have risen.

    After the concentrated release of favorable domestic benefits in the early stage, the price of non-ferrous metals has been adjusted
    to varying degrees.

    In terms of the market, the spot price continued to fall rapidly below 16,000 during the week, with cargo holders actively shipping, middlemen bargaining on the dip, and passive downstream receiving goods
    .

    On the demand side, from the perspective of downstream operating rate, processing fees and spot premium performance, real demand did decrease month-on-month
    .

    On the supply side, aluminum production hit a record high in December, and there are still expectations of large imports of primary aluminum under import profits, so supply expectations remain high
    .
    This means that there is a situation of supply and demand at the margin, that is, the fundamentals begin to show an inflection point compared with the previous period, and the pressure of social inventory to accumulate in advance is relatively large
    .
    In addition, after the Spring Festival, it is another accumulation cycle, so for Shanghai Aluminum at this time, the willingness to actively pull up declines
    .

    On the whole, the pressure area of Hulun aluminum has different degrees of correction, Shanghai aluminum fluctuates greatly, short-term continuous rapid decline, is expected to further pullback, short-term material volatility is the mainstay
    .

    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.