SHANGHAI, Jun. 10 (SMM) – Three-month aluminum on the London Metal Exchange drifted higher after opening at USD 1,878/mt on Monday. Rising prices lured investors in, driving the light metal up further to USD 1,918/mt. Finally, three-month aluminum on the LME ended up USD 42.7/mt or 2.29% at USD 1,912/mt. Trading volumes increased 5,139 lots to 23,966 lots, with positions also up 499 lots to 901,066 lots.
On Monday night, SHFE 1408 aluminum contract started at RMB 13,700/mt. The most active contract nudged up to RMB 13,845/mt, but then fell back to RMB 13,510/mt, finishing the night session at RMB 13,535/mt. Trading volumes totaled 354,088 lots, with positions up 204 lots to 181,556 lots.
The most active SHFE aluminum contract should fluctuate between RMB 13,500-13,650/mt on Tuesday. In China’s physical market, demand will remain soft, with spot discounts of RMB 60-100/mt expected over SHFE 1406 aluminum contract.