SHANGHAI, Apr. 25 (SMM) – SHFE 1307 aluminum contract became the most active one on Thursday, which started slightly higher at RMB 14,645/mt. The most active SHFE aluminum contract was stagnant during the day due to inactive trading activity, and finally closed at RMB 14,645/mt, up RMB 50/mt or 0.34%. Positions increased 258 lots to 59,578 lots. SHFE aluminum for July delivery is expected to hold stable at RMB 14,600/mt as longs and shorts will continue to exit the market on the last trading day before the Chinese May Day holiday.
Spot aluminum was traded at RMB 14,440-14,460/mt in Shanghai, a discount of RMB 90-110/mt over SHFE 1305 aluminum contract. Low-iron aluminum was traded around RMB 14,610/mt. A slight rise in SHFE 1307 aluminum contract and modest restocking ahead of Chinese May Day holiday helped push spot aluminum in Shanghai and Wuxi up to RMB 14,450/mt. Eagerness to sell by traders at the month’s end resulted in ample supply, which in turn curbed gains of spot aluminum. Prices in Hangzhou climbed to RMB 14,500/mt due to tight supplies. Demand for stock replenishment from downstream producers helped improve overall trading. In the afternoon, the most active SHFE aluminum contract edged up, pushing spot aluminum offers up to RMB 14,470/mt, but transactions were muted.