SHFE Aluminum to Stay Weak (2017-6-14)

Published: Jun 14, 2017 09:55

Save

SHFE 1708 aluminum will find support from rally in LME aluminum.

SHANGHAI, Jun. 14 (SMM) –SHFE 1708 aluminum will find support from rally in LME aluminum. But, poor market fundamentals will prevent prices from rising. SHFE 1708 aluminum should move at lows of RMB 13,600-13,770/mt.

In east China’s spot aluminum market, spot discounts of RMB 20-60/mt are expected over SHFE 1706 aluminum contract.

Key Macroeconomic Indicators for Base Metal Prices (2017-6-14)

SHFE aluminum prices aluminum prices Al price base metal price forecast

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

8 mins ago

Supply-Demand Pattern of Weak Supply and Demand Is Unlikely to Change, Cast Aluminum Alloy Prices Are Expected to Remain in the Doldrums in the Short Term [SMM Cast Aluminum Alloy Morning Comment]

[SMM Cast Aluminum Alloy Morning Comment: The Dual-Weak Supply-Demand Pattern Was Hard to Change, and Alloy Prices Were Expected to Remain in the Doldrums in the Short Term] Spot side, the secondary aluminum alloy ADC12 market continued to weaken yesterday, with mainstream enterprises generally lowering quotes by 200–400 yuan/mt. The price weakness was mainly dragged down by the expanded declines in aluminum prices and futures, while the cost center moved lower in tandem; coupled with previously strong bullish sentiment among some enterprises and a lagging pace of price adjustments, the market saw a catch-up decline today. Market sentiment side, secondary aluminum enterprises turned cautious and bearish on short-term aluminum price trends, with active shipments as the main focus. Demand side support remained weak, downstream procurement was maintained for rigid demand, wait-and-see sentiment was strong, and transactions showed no obvious increase. Overall, ADC12 prices were expected to remain in the doldrums in the short term.

8 mins ago

15 hours ago

Geopolitical Tensions Disrupt LPG, Natural Gas Supply to India, Impacting Aluminum Production

[SMM Aluminum Express News] Geopolitical tensions in West Asia have disrupted energy flows through the Strait of Hormuz, tightening LPG and natural gas supply to India. With gas diverted to households, according to the Aluminium Extrusion Manufacturers Association of India industrial supply has been cut by 50–80%, severely impacting energy-intensive aluminum extrusion. Around 25 plants have been shut down while ~200 operate at reduced rates, dragging monthly output from ~70,000 mt to ~45,000 mt. The supply-driven disruption is tightening downstream availability and supporting aluminum product premiums.

15 hours ago

16 hours ago

SHFE Cast Aluminum Alloy Warrants Drop to 44,991 mt, Down 2,741 mt from Previous Day

[SMM Flash News] SHFE data showed that as of March 23, the total registered volume of cast aluminum alloy warrants was 44,991 mt, down 2,741 mt from the previous trading day. By region, the total registered volume was Shanghai (3,177 mt, down 515 mt), Guangdong (17,467 mt, down 453 mt), Jiangsu (5,022 mt, down 453 mt), Zhejiang (14,155 mt, down 1,079 mt), Chongqing (3,843 mt, down 91 mt), and Sichuan (1,327 mt, down 150 mt). The English translation of the above text is:

16 hours ago