SMM Brief on SHFE Aluminum Futures: Prices Rise Only Slightly on Market Caution (2013-7-22)

SHANGHAI, Jul. 22 (SMM) – SHFE 1310 aluminum contract opened slightly higher at RMB 14,370/mt on Monday. The most active contract was stagnant near its opening price as longs were cautious about buying and as shorts closed positions. SHFE aluminum for October delivery gained RMB 45/mt or 0.31% to close at RMB 14,375/mt. Markets are cautious ahead of HSBC’s flash China manufacturing PMI for July due tomorrow. Trading volumes contracted by 188 lots to 13,042 lots, and positions decreased by 1,678 lots to 191,512 lots. SHFE three-month aluminum contract may not be able to break through RMB 14,400/mt until more upward momentum is available.