SHANGHAI, Mar. 9 (SMM) – LME three-month aluminum closed at USD 2,213/mt on Thursday, little changed from the previous trading day as a surge of 10,050 mt in stocks offset support from optimism towards the Greek debt-swap. Strong support at the USD 2,200/mt mark showed, however, after the contract slipped for a fifth consecutive day.
As investors wait for China’s February CPI and US non-farm payroll data, aluminum price may rise slightly in an overall bullish environment. As such, SMM expects LME three-month aluminum to move between USD 2,200-2,250/mt as it tests resistance at the 5-day moving average. The most active SHFE aluminum contract for May delivery is expected to move between RMB 16,150-16,250/mt while struggling at the 5-day moving average. Spot discounts over the SHFE current-month aluminum price are expected to stay between RMB 30-70/mt given its stability shown. Spot trading is believed to stay light due to weak demand.