Short term aluminum prices are weak and volatile

On the external side, aluminum prices have continued to weaken, while the strengthening US dollar and poor consumer expectations have dragged down LME aluminum prices. The LME three-month aluminum price closed down 0.83% to $2197.5 per ton. The domestic night market opened slightly lower and fluctuated, with the main 2403 contract closing below 18760 yuan/ton. The early spot market has not fully recovered, with overall trading light and a small number of traders entering the market for trading. Downstream procurement is indeed large-scale. The mainstream transaction price in the East China market is around 18820 yuan/ton, an increase of 30% compared to futures. The mainstream transaction price in Guangdong is around 18820 yuan/ton.
 The smelting plant is operating normally, and the amount of ingots has increased. After the holiday, consumption is still waiting to recover, and inventory levels are gradually rising. Accumulated inventory puts some pressure on short-term prices, but overall inventory is still at a low level. In the later stage, downstream and terminal consumption will gradually recover, and there are expectations for macro policies, with prices below or limited. Short term aluminum prices are weak and volatile.