SHANGHAI, Mar. 8 (SMM) – The most active SHFE aluminum contract for delivery in May opened lower at RMB 16,100/mt on Wednesday following plunges in LME aluminum prices and European and US stock prices. The contract recovered slightly backed by the climbing Shanghai Composite Index before closing at the intraday low of RMB 16,165/mt of the previous trading day. Transacted contracts were 7,972 lots while positions dropped 994 lots to 51,478 lots. Light trading has been limiting the moving band while support still exists at the 60-day moving average.
Spot aluminum traded between RMB 15,870-15,910/mt in Shanghai, at discounts of RMB 30-70/mt over the SHFE current-month aluminum price. Low-iron aluminum traded between RMB 15,980-16,000/mt. Spot aluminum prices in Wuxi were between RMB 15,870-15,910/mt. Spot discounts dropped further as the current-month SHFE aluminum contract dipped further. Trading stayed light as even inquiries were quiet among both middlemen and downstream.