SHANGHAI, Mar. 19 (SMM) – SHFE 1306 aluminum contract prices opened unchanged from yesterday at RMB 14,695/mt on March 19. The most active SHFE aluminum contract hovered around RMB 14,700/mt in the morning session, but dropped in the afternoon as shorts entered the market. Finally, SHFE aluminum for June delivery lost RMB 40/mt or 0.27% to close at RMB 14,655/mt. Positions decreased 1,326 lots to 98,016 lots. Investors are cautious as the European debt crisis resurfaced, keeping the light metal in check. Aluminum prices remain under downward track at the moment, with no signs of stopping falling.
Spot aluminum was mainly traded at RMB 14,470-14,500/mt in Shanghai on Tuesday, a discount of RMB 60-90/mt over SHFE current-month aluminum contract prices. Low-iron aluminum was trade around RMB 14,650/mt. SHFE 1306 aluminum contract prices stopped falling, easing market panic. Cargo holders held back goods, helping spot discounts narrow. Resistance remained strong at RMB 14,500/mt due to limited buying interest from downstream producers and middlemen. Overall trading was light. In the afternoon, SHFE 1306 aluminum contract prices dropped, but SHFE current-month aluminum contract prices proved resilient. Wait-and-see sentiment dominated the spot market. Sparse offers were reported at RMB 14,470-14,480/mt, but inquiries were rarely heard, leaving trading muted.