SHANGHAI, Apr 23 (SMM) – Spot aluminium trading in east China sharply weakened from the previous day on Tuesday morning as volatile prices of futures sidelined buyers.
The front-month May aluminium contract on the Shanghai Futures Exchange came off from earlier highs in morning trades.
Spot trades in Shanghai were heard at 14,190-14,210 yuan/mt when the SHFE 1905 contract climbed. Spot prices fell to 14,160-14,180 yuan/mt after the contract fell. Traded prices gained close to 40 yuan/mt from the previous morning.
The spot prices stood close to the SHFE 1905 contract, compared with a discount of up to 10 yuan/mt on Monday morning.
Spot aluminium traded at 14,190-14,210 yuan/mt in Wuxi and 14,210-14,230 yuan/mt in Hangzhou.
While sellers across eastern markets were keen to offload cargoes, buyers showed little interest. This weakened overall trades in east China.
The southern markets, however, saw more trades as purchasing enthusiasm among local downstream consumers improved.
Spot aluminium trades occurred at 14,200 yuan/mt in Guangdong, before traded prices fell to a range of 14,160-14,180 yuan/mt as prices of futures slipped.