Chinalco Falls 2% Big business is worried about the negative impact of parent trading

Shares in Chinalco, the parent company, suspended from the Rio Tinto deal, fell 2.07% to HK $8.06 a day, trading 123 million shares, after a sharp shock to stabilise the firm. Citi issued a report saying it lowered its rating from holding to sell, but maintained a target of HK $3.09, the equivalent of 0.7 times times the city's net rate, and a sharp discount of 62% per cent on market prices. There has been no change in the fundamentals of Chinalco's operation, but investor sentiment could be adversely affected by the bank's belief that the Rio Tinto deal with Chinalco had been one of the key factors in making a good sentiment and one of the biggest concerns for short sellers.　　Said the market is in excess of supply, the price of goods is expected to fall further. Macquarie alleges that the fall in the deal has dashed investors ' hopes that the parent company will inject the acquired assets into Chinalco and get supplies of raw materials. and the outlook for Chinalco is bleak, and weak earnings performance will put pressure on Chinalco's share price.