SHANGHAI, Dec. 2 (SMM) – LME aluminum dropped to USD 1,986/mt after opening at USD 2,006/mt on Monday. But prices rebounded to USD 2,033.5/mt later before closing at USD 2,031/mt. Trading volumes were up 86 lots to 21,836 lots, with positions down 5,406 lots to 841,299 lots. 

 

China’s official manufacturing PMI declined to 50.3 in November, while HSBC’s China manufacturing PMI dropped to a six-month low of 50. Manufacturing PMIs in the euro zone and Germany fell to 50.4 and 49.5, respectively, in November. US manufacturing PMIs released by Markit and ISM were mixed. 

    

On Monday night, SHFE 1502 aluminum contract followed LME aluminum up after starting at RMB 13,656/mt, and finished the night session at RMB 13,825/mt. 

 

The most active SHFE aluminum contract should range RMB 13,550-13,700/mt on Tuesday. In China’s spot market, sellers will hold offers firm, with spot discounts of RMB 10-50/mt expected over SHFE 1412 aluminum contract.