SMM, September 28:
Spot aluminum was traded at a premium of 30-40 yuan/mt against the SHFE aluminum 2610 contract, with cargoes with invoices dated next month dominating. Suppliers reported strong transactions today, with downstream procurement relatively active. However, upstream sellers reduced shipments amid falling aluminum prices. SMM A00 aluminum ingot spot transactions were concluded at a premium of 30-50 yuan/mt against the SHFE aluminum 2610 contract.
On the first trading day after the Mid-Autumn Festival, downstream processing enterprises in the central China market showed limited stockpiling sentiment, and stockpiling for the National Day holiday had largely concluded. Although SHFE aluminum futures declined further, overall market trading sentiment remained sluggish. Suppliers tended to sell quickly to clear inventory, with weak willingness to hold prices firm, and transaction prices continued to decline. Ultimately, actual transaction prices in the central China market ranged from a discount of 20-70 yuan/mt against the SHFE aluminum October contract.
Inventory trends continued to diverge across the three regions, with Guangdong destocking by 1,000 mt, Wuxi destocking by 1,000 mt, and central China seeing an inventory buildup of 2,000 mt.
