East China Aluminum: High Price Deters Downstream Producers from Buying, Trading Light

 SHANGHAI, Apr. 11 (SMM) – Spot aluminum was traded at RMB 14,580-14,610/mt in Shanghai on Thursday, a discount of RMB 60-90/mt over SHFE 1304 aluminum contract prices. Low-iron aluminum was traded around RMB 14,750/mt. SHFE 1306 aluminum contract bucked the trend by rising on news that China will invest RMB 7 trillion in infrastructure and step up application of aluminum, pushing spot aluminum up as well. Nevertheless, little possibility of immediate recovery in consumption curbed gains of spot aluminum, with mainstream traded prices failing to rise to RMB 14,600/mt. Downstream producers took a wait-and-see stance, forcing traders to sell at discount, with thin trading reported.