​Aluminum Prices Rebounded This Week

Aluminum prices rebounded this week, with the AL2205 contract closing at 22,830 yuan/ton, up 800/ton month-on-month. The weekly average spot price of the Yangtze River was 21,990 yuan/ton, an increase of 419 yuan/ton from the previous month. At present, it is seen that the fundamentals of Aluminum remain strong on the outside and weak on the inside. There is a trend of change, and the market fundamentals are dominant. Overseas: The Fed raised interest rates by 25 basis points as expected, in line with market expectations. The Ukrainian-Russian war continues, and US-EU sanctions have begun to extend to energy. Pay attention to the later sanctions and negotiations. Domestic situation: The outbreak of the epidemic in many places has affected logistics and transportation to a certain extent, but alumina production capacity has gradually resumed production, the high operating rate of electrolytic aluminum is still maintained, downstream demand continues to improve, and inventory destocking is obvious. To sum up, the fundamentals of Aluminum have improved, the emotional impact caused by the overseas war has come to an end for the time being, and the market has continued upward momentum.