SHANGHAI, May 30 (SMM) – The most active SHFE aluminum contract for September delivery started at RMB 16,035/mt and closed unchanged from the previous trading day at RMB 16,030/mt on Tuesday. The light metal found its low at RMB 16,005/mt and rebounded with the help of bargain hunting. Profit-taking by longs dragged it down from RMB 16,055/mt, the intraday high. Positions added 514 lots to 92,234 lots. It showed strong resilience on both sides and speculation activities dominated trading. SMM expects the contract to test pressure at RMB 16,050/mt in the near term awaiting a clear direction.
Aluminum spot was traded at RMB 15,970-16,000/mt in Shanghai, at discounts of RMB 0-30/mt over the current-month SHFE aluminum contract. The trading band was RMB 15,990-16,010/mt in Wuxi and RMB 15,980-16,000/mt in Hangzhou. SHFE aluminum stagnated near RMB 16,000/mt during spot trading hours, adding pressure on aluminum spot at RMB 16,000/mt. Goods holders showed strong selling interest and quoted at slight discounts. Trading stayed thin as buying remained weak.