SHANGHAI, Nov 27 (SMM) – Spot aluminium sellers across south-China markets held back from offloading their cargoes on Tuesday morning as prices of futures fell in early trade, SMM research found.
Overall trades across southern markets were thin as traders and downstream consumers remained cautious in making purchases.
The SHFE 1812 contract fell in early morning trade and most spot transactions in Guangdong were heard at 13,730-13,740 yuan/mt, with Guangdong-Shanghai spread narrowed to 40 yuan/mt.
Spot transactions in Shanghai were mostly done at 13,700-13,710 yuan/mt with discounts of 50-40 yuan/mt against the SHFE 1812 contract, compared to 60-50 yuan/mt in the previous day. Most transactions were heard at 13,700-13,710 yuan/mt in Wuxi and 13,730-13,750 yuan/mt in Hangzhou.
Across eastern markets, sellers were keen to offload their cargoes on cash flow issues ahead of month-end and transactions between traders remained brisk. Downstream consumers purchased on demand.