South China Aluminum: Stalemate between Buyers and Sellers Suppresses Price Increase

SHANGHAI, Dec.19 (SMM) – The most active SHFE aluminum contract price fluctuated narrowly around the daily moving average on Monday and met strong resistance at RMB 15,800/mt level. Accordingly, spot prices in South China market edged up slightly, but downstream buyers were not actively buying at higher prices, so increase was suppressed compared to East China. Mainstream transactions were done at RMB 15,960-15,980/mt. Since inventories in South China were less than 90,000 mt, cargo holders were reluctant to move goods. The stalemate between buyers and sellers resulted in quiet transaction in the market.