SMM Aluminum Market Daily Review (2015-4-29)

SHANGHAI, Apr. 30 (SMM) –SHFE 1507 aluminum contract slipped to RMB 13,360/mt on Wednesday morning. In the afternoon, prices fell further to RMB 13,290/mt as plunging SHFE copper dampened market sentiment. Finally, the contract ended at RMB 13,305/mt. Trading volumes totaled 66,102 lots, and positions were up 4,824 to 141,968. Technically, prices are expected to stage a rally, though.

 

Spot aluminum largely traded between RMB 13,120-13,140/mt in Shanghai on Wednesday, discounts of RMB 170-190/mt over SHFE 1505 aluminum contract, versus RMB 13,090-13,110/mt in Wuxi, and RMB 13,150-13,160/mt in Hangzhou. Some large suppliers and traders in Shanghai that have completed delivery under term contracts cut shipment. Traders increased purchases slightly after spot discounts narrowed. Supply in Wuxi remained ample. Processors began to stockpile goods for the upcoming May Day holiday, but the increase in purchasing volumes was limited. In the afternoon, holders of hedged goods were more willing to sell after SHFE aluminum fell, and some went bargain hunting.