SMM Brief on SHFE Aluminum Futures: Investors Exit, Undermining Upward Impetus (2013-7-3)

SHANGHAI, Jul. 3 (SMM) – SHFE 1310 aluminum contract opened slightly lower at RMB 14,345/mt on Wednesday. SHFE aluminum for October delivery was stagnant at RMB 14,370/mt for most time of the session as investors pulled out of the market, and finally ended the day at RMB 14,390/mt, up RMB 35/mt or 0.24%. Trading volumes of the most active SHFE aluminum contract contracted 7,298 lots to 6,442 lots, and positions decreased 1,326 lots to 67,764 lots, reflecting a lack of confidence in aluminum market. The most actively traded SHFE aluminum contract is expected to continue to test resistance at RMB 14,400/mt prior to the release of the US non-farm employment.