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Market has been cautious as the US is at risk of being downgraded due to its debt ceiling issue. LME aluminum should stall at USD 2,050/mt and fluctuate in the band of USD 2,040-2,060/mt on Wednesday. The SHFE 1303 aluminum contract is expected to open at RMB 15,160/mt, with prices between RMB 15,130-15,230/mt. Spot discounts are expected to expand to RMB 50-90/mt after SHFE 1302 aluminum contracts become the current-month contract. Traders should actively move goods, but downstream producers will purchase only when needed.
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