Shanghai aluminum afternoon comment on May 5

Shanghai aluminum is still weak in the short term, but with the recovery of the epidemic, domestic consumption is expected to rise, and prices are supported
.
Shanghai aluminum opened around 20,300 yuan today, focusing on the oscillation range of 20,000-21,500
.

On the macro front, the US dollar index ran high during the holiday, and last night the Fed announced a 50BP interest rate hike and the balance sheet reduction route as scheduled, but it did not exceed expectations, the dollar index fell back to 102.
56, and the US dollar is expected to remain strong in the current interest rate hike process
.

In terms of spot, spot aluminum prices in various markets fell slightly, the market just needed to purchase, the overall transaction was general, traders in the Wuxi market continued to increase shipment efforts to collect payments, traders continued to increase shipments to collect payments; The spot premium in the Shenyang market continued to narrow slightly, and the willingness to stock up before the holiday was strong; The spot discount in Foshan market narrowed, and it was just before the holiday that needed to be replenished; The downstream pre-holiday stocking sentiment in Gongyi market is strong, and the market transaction is acceptable
.

In general, the current domestic aluminum ingot social inventory to the warehouse more, before May Day terminal demand was partially released, the domestic epidemic in the market improved, productivity recovered, consumption picked up, Shanghai aluminum will appear rebound opportunity, and if the economy has a greater decline, aluminum prices will further decline
.