SHANGHAI, Nov. 17 (SMM) – The most active SHFE aluminum contract 1201 opened lower at RMB 16,200/mt and slipped nearly 1% to the intraday low of RMB 16,080/mt on November 16th due to the slightly bearish market sentiment. The contract finally closed RMB 150/mt or 0.92% lower at RMB 16,100/mt following a narrow rebound. Transactions were less than 20,000 lots. Positions of the contract decreased 2,246 lots to 78,944 lots. SMM expects the most active SHFE aluminum contract to find short-term support at RMB 16,100/mt.
Traded prices of spot aluminum in Shanghai were between RMB 16,080-16,110/mt on Wednesday, with discounts of RMB 10-50/mt over the SHFE current-month aluminum price. Low-iron aluminum was traded between RMB 16,160-16,200/mt in Shanghai. Traded prices of spot aluminum in Wuxi were between RMB 16,070-16,090/mt. The SHFE aluminum contract 1112 became SHFE current-month aluminum contract on Wednesday, and slipped In the morning after opening lower. The bearish mood recovered in the market as a result, causing a wait-and-see sentiment among downstream buyers. Meanwhile, goods holders were not as firm for the RMB 16,100/mt mark as on the previous trading day. Though spot prices did not drop further, their discounts over the SHFE current-month aluminum price expanded. Transactions were limited. In the afternoon, the SHFE current-month aluminum price slipped further. Goods movements were rarely seen and quotations held steady at RMB 16,070/mt. Transactions were hardly reported in the afternoon as a result of the strong wait-and-see sentiment.