The main contract of Shanghai aluminum fell to the limit short-term or continue the weak market

In terms of external trading, in the morning, Lun aluminum opened at 1732 US dollars / ton, dragged down by domestic Shanghai aluminum, Lun aluminum continued to dip, near the 5-day moving average a little repeated and continued to decline, once fell below the 1700 US dollars / ton integer mark, the low touched 1696 US dollars / ton, into the European trading session The dollar downward, the external base metal was boosted by this low level to rise, Lun aluminum also repaired part of the decline, as of 18:00, Lun aluminum 1712 US dollars / ton, the US election situation abruptly, the US dollar suffered a wild sell, pay attention to the US ADP data, It is expected that Lun aluminum will continue to repair the decline and test the guardianship of the 5-day moving average
.

In terms of industry, the electrolyzer of Qinghai Investment Group Lily Recycled Aluminum Company was successfully electrified, providing a reliable guarantee for the full realization of the company's annual production capacity of 500,000 tons in the later stage; The trial production of Tianjin Zhongwang's largest aluminum rolled material project is smooth, and the first phase of the plant has a capacity of 1.
8 million tons, which will achieve mass production
within this year.

In terms of the market, aluminum fell before
noon that month.
Before the drop limit, Shanghai trading concentrated 14530-14550 yuan / ton, the monthly premium 350-480 yuan / ton, because the aluminum month before noon all the way down, and the spot quotation is more stable, so the spot to the month premium back up, Wuxi transaction concentration 14530-14550 yuan / ton, Hangzhou transaction concentration 14550-14570 yuan / ton, after the stop, Wuxi quotation concentrated 14480-14510 yuan / ton, Shanghai appeared 14450-14460 yuan / ton individual low quotation
。 Before the drop limit, Shanghai Pu aluminum brand began to flow into the market, the circulation of goods increased compared with yesterday, Wuxi Hangzhou holders maintained stable shipments, the overall transaction is still concentrated in the downstream on-demand procurement, after the drop limit, the holder panic breeds, the quotation began to be lowered, but the market wait-and-see sentiment is strong, almost no deals
.
In the late afternoon, aluminum remained in a state of falling limit, a small number of transactions in Shanghai were 14440-14460 yuan / ton, and a small number of low-priced goods in Wuxi were traded 14360 yuan / ton, and only some of the holders who could dump the goods were still actively shipping, and a small number of middlemen replenished at low prices
.

At present, there are the following factors that induce the Shanghai aluminum drop stop: First, the early rise has overdrawn the fundamentals, and the pressure to increase the supply side in the future is still large; Second, the exchange has newly approved Xinjiang Shenhuo Coal Power "Rugu" 400,000 tons of production capacity as a new delivery brand, and the risk of shorting has increased in recent months; Third, the market rumors that Shandong smelter stopped production are untrue, and Taiyuan East Aluminum officially resumed production
.
However, in the short term, the spot market is not obvious, when the social inventory is still low, traders have a clear price mentality, and the structural supply shortage is still the most important supporting force
for aluminum prices.
On the market, the main contract of Shanghai aluminum is closed to the limit, or continue to fluctuate lower, waiting for the full release of bearish sentiment, the recent supply of aluminum ingots is still insufficient, should not be overly bearish
.