East China Aluminum: Trading Down as Downstream Producers Resist High Price

SHANGHAI, Jan. 16 (SMM) – Spot aluminum was mainly traded at RMB 14,950-14,980/mt in Shanghai on Wednesday, with discounts at RMB 100-120/mt. Low-iron aluminum was traded at RMB 15,080-15,090/mt. SHFE 1303 aluminum contract prices fell back after rising slightly, dampening market confidence. Spot discounts expanded above RMB 100/mt after SHFE 1302 aluminum contracts became the current-month contract. Some cargo holders were anxious to sell due to high inventories, but downstream producers refrained from buying at highs, curbing gains of spot aluminum prices, with the lowest traded price down to RMB 14,950/mt. Overall trading was quiet.