SHANGHAI, Oct. 16 (SMM) – Three-month aluminum on the London Metal Exchange inched down during Wednesday’s Asian trading hours as China’s PPI and CPI fell. Prices tumbled to USD 1,914/mt during the European session as downbeat US retail sales and PPI data, as well as New York Fed’s manufacturing index, tarnished the outlook for global economy. Finally, the light metal closed at USD 1,918/mt. Trading volumes were up 7,432 lots to 15,789 lots, with positions up 879 lots to 816,136 lots.
On Wednesday night, SHFE 1412 aluminum contract moved sideways after starting at RMB 13,740/mt, and finished the night session at RMB 13,715/mt.
The most active SHFE aluminum contract may fall to RMB 13,670-13,740/mt on Thursday due to worries over global economic slowdown. In China’s spot market, weak demand will widen spot discounts to RMB 10-50/mt over SHFE 1411 aluminum contract, the new front-month contract.