East China Aluminum: Inflation Pressure Limited Consumption, Spot Discounts Expand

SMM Insight 01:21:35PM Feb 09, 2012 Source:SMM

SHANGHAI, Feb. 9 (SMM) – Traded prices of spot aluminum in Shanghai were between RMB 15,890-15,920/mt on Thursday, with discounts of RMB 70-100/mt over the SHFE current-month aluminum price. Low-iron aluminum was traded between RMB 15,990-16,010/mt in Shanghai. Traded prices of spot aluminum in Wuxi were between RMB 15,840-15,870/mt. China’s January CPI rose far beyond expectations and inflation pressure still existed, limiting the recovery of consumption in spot aluminum markets. As a result, SHFE aluminum prices were under strong resistance at the RMB 16,000/mt mark, with spot discounts over the SHFE current-month aluminum price expand to nearly RMB 100/mt. Only a few middlemen were willing to purchase at lower prices. Transactions remained modest.

Key Words:  East China   aluminum prices 

East China Aluminum: Inflation Pressure Limited Consumption, Spot Discounts Expand

SMM Insight 01:21:35PM Feb 09, 2012 Source:SMM

SHANGHAI, Feb. 9 (SMM) – Traded prices of spot aluminum in Shanghai were between RMB 15,890-15,920/mt on Thursday, with discounts of RMB 70-100/mt over the SHFE current-month aluminum price. Low-iron aluminum was traded between RMB 15,990-16,010/mt in Shanghai. Traded prices of spot aluminum in Wuxi were between RMB 15,840-15,870/mt. China’s January CPI rose far beyond expectations and inflation pressure still existed, limiting the recovery of consumption in spot aluminum markets. As a result, SHFE aluminum prices were under strong resistance at the RMB 16,000/mt mark, with spot discounts over the SHFE current-month aluminum price expand to nearly RMB 100/mt. Only a few middlemen were willing to purchase at lower prices. Transactions remained modest.

Key Words:  East China   aluminum prices