SMM Brief on SHFE Aluminum Futures: Upward Momentum Limited Due to Inactive Trading (2013-4-24)

SHANGHAI, Apr. 24 (SMM) – SHFE 1306 aluminum contract started Wednesday slightly higher at RMB 14,575/mt. The most active SHFE aluminum contract edged down to RMB 14,540/mt in the morning due to light trading, but rebounded in the afternoon on short-covering after copper prices soared. Finally, SHFE aluminum for June delivery closed at an intraday high of RMB 14,590/mt, up RMB 55/mt or 0.38%. Positions contracted 3,760 lots to 60,268 lots. Shorts took profits before the upcoming Chinese May Day holiday, while longs seldom entered the market, capping gains of the most-traded SHFE aluminum contract, which is expected to continue to hover between RMB 14,500-14,600/mt in the near term.