Spot aluminium trades remain poor even as prices extend declines

SHANGHAI, May 30 (SMM) – Even as prices fell for a third straight day, spot aluminium trades across east and south China remained poor on the morning of Thursday May 30, as buyers still showed little interest.

The June contract on the Shanghai Futures Exchange slipped in early morning trade after a decline overnight.

This lowered traded prices in the Shanghai spot market by 40 yuan/mt from Wednesday morning to 14,160-14,180 yuan/mt. The premium over the SHFE 1906 contract came in at 10-20 yuan/mt.

Spot deals occurred at 14,160-14,180 yuan/mt in Wuxi and 14,220-14,240 yuan/mt in Hangzhou this morning.

A major trader stopped procurement in eastern markets today as the month draws to an end. This left the market a supply overhang, and weighed on prices.

Spot aluminium traded at 14,240-14,250 yuan/mt in Guangdong this morning, with the spread with Shanghai prices narrowed to 80 yuan/mt.