Yes, the gas cant expand. But its in a rigid container, so it will want to expand. Instead all energy will go to the molecules, so the molecules will have an increased internal energy.
Lets say that the air is 1 mole and has been compressed to 1 litre. Pretend this achives 500 degrees C.
If we do the ideal gas equation,
n-1
r-0.08206
t-773
v-1litre
p- 63.
So, the adiabatic compression of 1 mole(24 litres) into 1 litre, produces 500 degrees C, but will the gas, in its rigid container, increase in pressure to 63 bars (which would be in proportion to its temperature)?