SHANGHAI, Sept. 10 (SMM) –SHFE 1511 aluminum opened at RMB 12,015/mt on Wednesday. The most active contract dipped to RMB 11,990/mt, but then quickly bounced back to RMB 12,065/mt. Finally, the light metal ended up RMB 145/mt or 1.22% at RMB 12,060/mt. Trading volumes were up 30,190 lots to 54,768 lots, and positions were up 2,534 lots to 118,000 lots. Rising Chinese A-share market boosted market sentiment, allowing SHFE aluminum to move higher. The contract might challenge resistance at RMB 12,150/mt in the near term.
Aluminum prices were mainly between RMB 11,830-11,860/mt in Shanghai on Wednesday, discounts of RMB 70-40/mt over SHFE 1509 aluminum, versus RMB 11,830-11,860/mt in Wuxi and RMB 11,830-11,840/mt in Hangzhou. Traders stockpiled goods in the market to fulfill term supply contracts. This, combined with rising SHFE aluminum, drove spot prices up. Downstream buyers were not active in the market, though. In the afternoon, trading activity died down.