SHANGHAI, Nov. 10 (SMM) – The US dollar index hovered around 99 due to growing expectations for US rate hike in December. This caused LME aluminum to drift lower after opening at USD 1,523/mt on Monday. LME aluminum ended down USD 19.5/mt or 1.25% at USD 1,504/mt. Trading volumes were down 6,461 lots to 13,117 lots, and positions were up 10,934 to 824,000.
On Monday night, SHFE 1601 aluminum dropped to RMB 10,450/mt after opening at RMB 10,540/mt due to entry of shorts. The most active contract should range RMB 10,400-10,500/mt on Tuesday. In China’s spot market, buying will remain poor. Spot discounts are expected at RMB 130-90/mt over SHFE 1511 aluminum contract.