SHANGHAI, Nov. 18 (SMM) – LME aluminum hovered near its opening price during the Asian session after opening at USD 1,793/mt last Friday. The light metal sank to USD 1,782/mt during European trading hours, but rebounded at the tail of the session as Janet Yellen hinted during the confirmation hearing that the Fed is in no rush to bring bond-buying program to an end and as details on China’s economic and social reforms boosted market sentiment. LME aluminum ended USD 1/mt or 0.06% higher at USD 1,793/mt. Trading volumes fell 1,744 lots to 10,146 lots, but positions grew 6,503 lots to 736,303 lots.
Details on China’s economic and social reforms will lend some support to SHFE 1401 aluminum contract, which is expected to open at RMB 14,200/mt on Monday and move within RMB 14,190-14,240/mt. In spot markets, a premium of RMB 20-60/mt is expected over SHFE 1312 aluminum contracts.