SHANGHAI, Mar. 5 (SMM) – SHFE 1405 aluminum contract edged down to RMB 13,185/mt after starting Monday’s night session at RMB 13,210/mt, but then moved higher to close at RMB 13,215/mt on short-covering. 5,120 lots were traded during the night hours, and positions added 460 lots to 95,674 lots. The most active contract erased gains after touching RMB 13,245/mt due to profit taking on Tuesday morning, but recovered losses afterwards to end RMB 5/mt lower at RMB 13,265/mt. 10,456 lots were traded during the day session, with positions down 462 lots to 95,212 lots.
Spot aluminum largely traded at RMB 12,810-12,830/mt in Shanghai on Tuesday, RMB 12,790-12,810/mt in Wuxi, and RMB 12,840-12,850/mt in Hangzhou. Some buyers went bargain hunting after SHFE 1403 aluminum contract prices rebounded, but most were cautious out of bearishness. In the afternoon, SHFE current-month aluminum contract rose further, but cargo holders still kept offers unchanged at RMB 12,810-12,820/mt due to a lack of confidence over future prices. A few traders stepped up purchases in the belief that prices will rise.