Aluminum shares rose in early trading. As of the time of publication, Aluminum Corporation of China (02600) was up 3.56%, with a price of HK$5.52; China Hongqiao (01378) was up 3.95%, with a price of HK$12.12.
According to the Zhitong Financial APP, aluminum shares rose in early trading. As of the time of publication, Aluminum Corporation of China (02600) was up 3.56%, with a price of HK$5.52; China Hongqiao (01378) was up 3.95%, with a price of HK$12.12.
China Securities Co., Ltd. stated that despite the recent decline in electrolytic aluminum prices from 22,000 yuan/ton, the excellent apparent consumption has solidified support for the 20,000 yuan/ton threshold. In the second quarter, the average spot price of aluminum oxide increased by about 280 yuan compared to the first quarter, and the average spot price of electrolytic aluminum in the second quarter increased by 1,490 yuan compared to the first quarter. The profitability of aluminum companies in the second quarter increased significantly compared to the first quarter and year-on-year, especially companies with high aluminum oxide ratios.
The bank pointed out that in the medium to long term, domestic electrolytic aluminum capacity is approaching its peak, supply is losing elasticity, overseas new capacity is growing slowly, and the global electrolytic aluminum gap will remain at around 800,000 tons from 2024 to 2026, supporting strong aluminum prices and continuing expansion of industry profits.