SHANGHAI, June 20 (SMM) – Spot discounts in the aluminium market in east China remained stable on Wednesday June 20 despite the slump in futures prices, SMM learned.
This was because some traders in the region were keen to offload cargoes on cash woes towards the end of the first half of the year. Downstream consumers purchased on demand.
In Shanghai, transactions were mostly heard at 14,100-14,120 yuan/mt with discounts of 60-50 yuan/mt against the SHFE 1807 contract. In Wuxi and Hangzhou, transactions were done at 14,100-14,120 yuan/mt and 14,130-14,140 yuan/mt, respectively.
Meanwhile, trading in south China was much brisker than that in east China. Traders were keen to buy at current low levels and buying interest of downstream consumers was also high in need of restocking after the Dragon Boat Festival.
In Guangdong, transactions were mostly heard at 14,210-14,230 yuan/mt with Guangdong-Shanghai price spread widened to 110 yuan/mt.