SMM Morning Review – 2012/4/9 Aluminum Market

Shanghai Apr. 9 (Shanghai) - LME metal market is closed for Easter Day. The US non-farm employment released last Friday was weaker than expected, and China will announce the CPI for March today. Before the release, markets will remain cautious, to wait for the direction from the data. On Monday, SHFE 1206 aluminum prices, the most active one, is expected to test RMB 16,200/mt, and will move between RMB 16,140-16,240/mt, if the CPI is positive. Spot market will depend on the recovery from downstream industries, and purchases on an as-needed basis will depress the rising room of spot prices. The struggle between suppliers and buyers will intensify as cargo-holders hold prices firm at RMB 16,000/mt, with spot discounts and premiums between negative RMB 20/mt and positive RMB 20/mt.