Home / Metal News / Copper / SMM Morning Review - 2012/5/14 Aluminum Market
SMM Morning Review - 2012/5/14 Aluminum Market
May 14,2012 09:23CST
smm insight
Source:SMM
The most active SHFE aluminum contract is expected to open higher near RMB 16,150/mt as it gathers momentum to break through RMB 16,200/mt.

SHANGHAI, May 14 (SMM) – Inflation pressure stays for the world’s largest metals consumer China. European debt risks still exist. The largest US bank JPMorgan reported heavy losses. All these pressured metals on Friday. LME aluminum hit a low of USD 2,031.8/mt but settled up slightly by USD 7.3/mt or 0.36% at USD 2,048.5/mt supported by the much better-than-expected US Michigan University Consumer Confidence Index. The light metal was the only base metal that gained on Friday.

Chinese central bank’s second reserve requirement cut this year will boost domestic financial markets. Market confidence, however, is still curbed by Greek political uncertainty. LME aluminum is expected to test pressure at the 10-day moving average above and move between USD 2,040-2,080/mt. The most active SHFE aluminum contract is expected to open higher near RMB 16,150/mt as it gathers momentum to break through RMB 16,200/mt. The moving band should be RMB 16,130-16,230/mt. The domestic fine-tuning signal will bolster confidence in the spot market. As the delivery date nears, spot aluminum will continue to trade near the current-month SHFE aluminum price. Premiums should be within RMB 20/mt and discounts should be no more than RMB 10/mt. Most deals will be done at low-end prices.

aluminum price
aluminum Al
SHFE aluminum
LME aluminum
spot aluminum
Shanghai

For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news