Movement Alert|Chalco Falls 3.39% in Regular Trading, Buy-the-Expectation-Sell-the-Fact Pattern Continues Post-HSI Inclusion

Market Focus
Jun 11

On June 11, Chalco (02600.HK) fell 3.39% in regular trading, trading at HK$9.70/share, with trading volume of HK$119 million.

On the news front, the stock continues its sharp correction following the formal inclusion into the Hang Seng Index constituent stocks, which took effect on June 8. On that day, the stock plunged 8%, marking a classic buy-the-expectation-sell-the-fact pattern. The stock had previously surged after a limit-up move on May 26, driven by dual catalysts of Guinea's planned bauxite export controls and HSI inclusion. Since then, main capital has been flowing out aggressively, with approximately RMB 1.55 billion in net outflows over the trailing five trading days. The company had also lowered aluminum ingot spot prices across regions on June 4.

Meanwhile, BlackRock disclosed a stake increase in Chalco H-shares from 9.66% to 10.44% as of June 4. The broader aluminum sector remains under pressure, with peers China Hongqiao up 0.53%, Nanshan Aluminum International down 0.61%, and Chuangxin Industrial up 2.24%. Profit-taking pressure from accumulated gains continues to weigh on the share price.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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