SHANGHAI, Oct. 19 (SMM) –LME aluminum drifted lower after opening at USD 1,579/mt on Friday, due to a stronger US dollar and falling aluminum prices in China. The light metal hit as low as USD 1,561/mt, but then recovered some losses before ending down USD 10/mt or 0.63% at USD 1,569/mt. Trading volumes were up 573 lots to 13,731 lots, and positions were up 10,955 to 845,000.
On Friday night, SHFE 1512 aluminum rose to near RMB 11,270/mt as some shorts exited. China’s final Q3 GDP will be released today. The most active contract should face correction and move between RMB 11,200-11,300/mt on Monday. In China’s spot market, sellers will rush to sell, and this will widen spot discounts to RMB 100-60/mt over SHFE 1511 aluminum contract.