East China Aluminum: Spot Trading to Remain Subdued until Lantern Festival

SHANGHAI, Feb. 20 (SMM) – Spot aluminum was mainly traded at RMB 14,700-14,720/mt in Shanghai on Wednesday, with discounts at RMB 150-170/mt. Low-iron aluminum was traded around RMB 14,820/mt. SHFE 1305 aluminum contract prices extended losses for a third straight day following the Chinese New Year, triggering massive short selling. Cargo holders were aggressively selling off goods, but downstream consumption remained sluggish, pushing spot aluminum prices down. Prices in Shanghai and Hangzhou temporarily held steady at RMB 14,700/mt, while prices in Wuxi dropped to RMB 14,680/mt as spot aluminum arrived after the week-long holiday exceeded warehouse capacity. Trading is expected to remain subdued until the Chinese Lantern Festival.