SHANGHAI, Aug. 11 (SMM) –Last week, SHFE 1410 aluminum contract fluctuated between RMB 13,965-14,170/mt, with investors taking profits at highs. In China’s physical markets, spot aluminum prices hovered near RMB 14,000/mt. Sellers rushed to sell after prices punched through RMB 14,000/mt, but traders showed little interest out of anticipation that prices would fall back. Cargo holders held back goods after prices retreated from RMB 14,000/mt. Downstream producers bought only as needed.
This coming week, positive technical indicator may push the most active SHFE aluminum contract up to RMB 14,000-14,200/mt. In China’s spot markets, suppliers will hold offers firm. Spot discounts are expected at RMB 0-50/mt as stocks continue to fall and delivery date of SHFE 1408 aluminum contract is approaching.