South China Aluminum Price: Eagerness to Sell Undermines Price Resilience

SHANGHAI, Jun. 14 (SMM) – SHFE 1309 aluminum contract met growing resistance at RMB 14,700/mt on Friday. Although some downstream producers were active replenishing stocks, weak SHFE aluminum and worries over large arrivals in Guangdong in the future drove cargo holders to liquidate inventories, pulling mainstream traded prices down to RMB 15,110/mt from RMB 15,160/mt. Prices in Guangdong are now only RMB 350/mt higher than in Shanghai, but there is still room for arbitrage. Overall trading was down from yesterday.