SHANGHAI, Jun. 18 (SMM) – Three-month aluminum on the London Metal Exchange fell back to USD 1,843.5/mt on Tuesday after rising to USD 1,860/mt, dragged down by downbeat economic data out of the US. Housing starts and building permits in the US dropped more than expected in May. The light metal closed the day at USD 1,853/mt. Trading volumes contracted 19,005 lots to 911,556 lots, with positions off 1,260 lots to 6,753 lots.
On Tuesday night, SHFE 1408 aluminum contract started at RMB 13,440/mt, and finished the night session at RMB 13,465/mt. Trading volumes totaled 32,054 lots, with positions up 234 lots to 147,992 lots.
The most active SHFE aluminum contract should fluctuate between RMB 13,430-13,500/mt on Wednesday. In China’s physical market, spot discounts of RMB 80-120/mt are expected over SHFE 1407 aluminum contract.