China's aluminum industry rises 0.7% Goldman Sachs maintains bullish 10.4 yuan

China's aluminium shares, which favoured higher prices this morning, rose 0.72% per cent to HK $7.01 a half-day, trading 14.91 million shares.　　Goldman Sachs issued a report saying it had removed the unit from its trust-buying list but maintained a buy rating, maintaining its target price of HK $10.4, a hefty 48% per cent premium over market prices. Goldman Sachs refers to Chinalco's 8.5% per cent decline since May 8, while the Morgan Stanley Capital International China Index is up 4.7%. The reason for the loss of the stock market is that there are few short-term catalysts. Goldman Sachs said it remained bullish on Chinalco, with 70% of the demand for aluminium expected to accelerate, despite a lack of short-term stimulus. It is considered that new projects/asset expenditures may soar in the second half of 09, which will have a greater impact on domestic demand for aluminium in the second half of 10, usually with a construction cycle of 12-18 months.