East China Aluminum: Downstream Buyers Are Cautious, Discounts Expand

SHANGHAI, Jan. 4 (SMM) – Traded prices of spot aluminum in Shanghai were between RMB 16,000-16,040/mt on Wednesday, with discounts of RMB 0-40/mt over the SHFE current-month aluminum price. Traded prices of spot aluminum in Wuxi were between RMB 15,980-16,000/mt. Spot aluminum prices were not greatly boosted by the rising SHFE aluminum prices on the first trading day of 2012. Most downstream buyers have already built stocks last week, leaving weak demand. Meanwhile, the cautious attitude towards aluminum prices resulted in strong wait-and-see sentiment. Transactions were modest on the whole.