SMM Aluminum Market Daily Review (2013-11-6)

SHANGHAI, Nov. 7 (SMM) – January aluminum on the Shanghai Futures Exchange (SHFE), the most active one, opened lower at RMB 14,315/mt on Wednesday. The light metal touched a high of RMB 14,320/mt, but slid to RMB 14,285/mt later in the day, dragged down by falling Chinese A-share. SHFE 1401 aluminum contract rebounded slightly at the tail of the session before ending the day RMB 40/mt lower at RMB 14,300/mt. Trading volumes contracted 2,404 lots to 6,966 lots, and positions also shrank 2,930 lots to 4,456 lots.

SHFE 1311 aluminum contract dipped to RMB 14,390/mt after opening at RMB 14,400/mt on Wednesday. Spot aluminum prices in Shanghai were RMB 14,410-14,420/mt, RMB 14,430-14,440/mt in Wuxi, and RMB 14,400-14,410/mt in Hangzhou. Cargo holders were actively selling, while downstream producers engaged in modest purchasing at the bottom. In the afternoon, spot markets turned quiet.