SMM Brief on SHFE Aluminum Futures: Prices Down as Slowing Chinese Economy Dampens Sentiment (2013-7-15)

SHANGHAI, Jul. 15 (SMM) – China’s 2Q GDP grew 7.5% YoY, consistent with forecasts, but slowed for a second straight quarter. This undermined investor sentiment some. SHFE 1310 aluminum contract opened flat at RMB 14,350/mt on Monday, and was mired at its opening price most of the session. SHFE three-month aluminum contract dived to RMB 14,305/mt at the tail of the session before closing at RMB 14,345/mt, down RMB 5/mt or 0.03%. Weak Chinese economic data drove investors out of the market. Trading volumes added 8,802 lots to 22,644 lots, but positions fell 4,122 lots to 197,418 lots. SHFE aluminum for October delivery is expected to test support at RMB 14,300/mt tomorrow.