SMM Brief on SHFE Aluminum Futures: Prices Remain Low as Investors Are Cautious (2013-6-17)

SHANGHAI, Jun. 17 (SMM) – LME aluminum remained low last Thursday and Friday, keeping SHFE aluminum in check. SHFE 1309 aluminum contract started slightly lower at RMB 14,690/mt on Monday, only touching a high of RMB 14,715/mt. The most active SHFE aluminum contract dipped about one hour before the end of the session due to pressure from shorts, and finally closed down RMB 35/mt or 0.24% at RMB 14,660/mt. Positions were up 796 lots to 44,168 lots. Cloudy economic outlook and weakening demand caused by liquidity crunch at the quarter’s end will prevent SHFE aluminum for September delivery from advancing to above RMB 14,600/mt in the near future.