SMM Brief on SHFE Aluminum Futures: Trading Activity Thin, Prices Stagnant (2013-1-9)

SHANGHAI, Jan. 9 (SMM) – Prices of SHFE 1303 aluminum contracts, the most active one, opened at RMB 15,255/mt on January 9 and stagnated at this mark in the session. Trading activity was thin, with trading volumes contracting to 3,710 lots. Finally, the March aluminum on the SHFE shed RMB 15/mt or 0.10% to finish at RMB 15,245/mt. Positions were down 1,840 lots to 62,778 lots. The most-traded SHFE aluminum contract closed with losses for four consecutive sessions as longs and shorts chose to stand on the sidelines ahead of the release of China’s December economic data.  The light metal should test support at RMB 15,200/mt in the near term, with limited downside room.