SHANGHAI, Aug. 11 (SMM) – LME aluminum hovered below USD 1,600/mt during Monday’s Asian trading hours. The light metal broke through the 5-day moving average to USD 1,625/mt later in the day as the US dollar lost some ground on waning expectations for US interest rate hike. Trading volumes were up 843 lots to 9,991 lots, and positions were down 8,322 to 883,000.
SHFE 1510 aluminum rose above RMB 12,000/mt overnight and should test resistance at the 10-day moving average, with prices expected between RMB 12,080-12,150/mt on Tuesday.
In China’s spot market, ample supply and soft demand in the off-season will keep spot aluminum prices in check at discounts of RMB 0-30/mt and premiums of RMB 0-10/mt over SHFE 1508 aluminum contract.