SHANGHAI, May 12 (SMM) – LME aluminum rose to USD 1,904/mt after opening at 1,885/mt on Monday. But prices fell back to USD 1,867/mt later due to a stronger US dollar. The euro softened against the US dollar as tensions were building before the meeting of eurozone finance ministers in Brussels. The US dollar index crawled up due to weak LMCI. Finally, LME aluminum ended at USD 1,876.5/mt. Trading volumes were down 1,745 lots to 10,629 lots, and positions were down 2,742 to 792,801.
On Monday night, SHFE 1507 aluminum contract fell to RMB 13,380/mt after starting at RMB 13,450/mt. The contract finished the night session at RMB 13,385/mt. Trading volumes totaled 14,986 lots, and positions were down 1,262 to 133,020.
In the absence of positive news, SHFE 1507 aluminum contract should move between RMB 13,360-13,400/mt on Tuesday. In China’s spot market, spot discounts of RMB 180-220/mt are expected over SHFE 1505 aluminum contract.