The contradiction between supply and demand is not prominent for the time being, and aluminum prices continue to fluctuate in a narrow range

On the macro front, the Bank of Japan's monetary policy slightly exceeded market expectations, but the yen has given up most of its gains, the Fed's monetary policy is expected to remain in the short term, and the dollar index remains around
104.
Domestically, although the tone of "homeowners do not speculate" remains unchanged, the real estate stimulus policy continues
.
Recently, local epidemic prevention policies have been further relaxed, but concerns about whether the epidemic will form a drag on the economy in the short term are rising, and market optimism has weakened
slightly.

On the supply side, according to SMM research, the current shutdown scale in Guizhou has reached about 200,000 tons, considering that electrolytic aluminum enterprises in Guizhou are mainly producing aluminum water, so the current production reduction has not had much impact on the regional supply and demand balance, but the probability of short-term electrolytic aluminum enterprises resuming production is small, or driving the subsequent regional aluminum ingot trade flow
.

In terms of demand, the lack of orders from processing enterprises has led to more cautious downstream procurement, and some regions have been affected by factors such as insufficient personnel to take early holidays, and it is expected that the actual demand will continue to be weak
.

On the whole, in the short term, the social inventory of domestic aluminum ingots remains low, and the overall spot market is tight, which still has some support for the fundamentals of domestic aluminum prices, and the current contradiction between supply and demand is not prominent for the time being, and it is recommended to treat
it with the idea of high selling and low absorption.