Aluminum prices are back on the high side, recently back near CNY 19,000/ton. This round of China’s domestic aluminum price rise is more due to the outflow of the rumor of production reduction in Yunnan Province.
The supply-side disturbance dominated the trend of aluminum prices in the short term, but the continuous surge in prices contained to be affected by supply and demand.
From the situation of downstream orders after the holiday and even the situation of the domestic social inventory, the recovery of the demand side is still unsatisfactory, although the accumulated value is still acceptable.
However, the expected consumption has not yet appeared, and the foundation for the further rise of aluminum prices is still lacking. Therefore, it was believed that there is still a certain ceiling for the price to climb at present.