SHANGHAI, Apr. 29 (SMM) – LME aluminum crept up to USD 1,874/mt during the Asian hours after opening at USD 1,856/mt on Monday. The light metal, however, retreated to USD 1,826/mt during the European session as investors were staying alert before the release of US non-farm employment report and outcome of the Fed’s policy meeting. LME aluminum closed the day down USD 23.3/mt at USD 1,834/mt. Trading volumes increased 1,010 lots to 11,832 lots, but positions were off 3,418 lots to 870,731 lots.
On Monday night, SHFE 1407 aluminum contract started at RMB 13,490/mt before finishing the night session at RMB 13,495/mt. Trading volumes totaled 16,502 lots, and positions increased 2,018 lots to 117,766 lots.
The most active SHFE aluminum contract is expected to fluctuate between RMB 13,450-13,530/mt on Tuesday. In China’s physical market, downstream producers will be little interested in building up stocks, leaving spot discounts at RMB 20-60/mt over SHFE 1405 aluminum contract.