Shanghai spot aluminium discounts expand after prices climb

SHANGHAI, Jul 16 (SMM) – Spot aluminium discounts in Shanghai expanded to 20-10 yuan/mt over the August contract on the Shanghai Futures Exchange in late morning trade as prices of futures rapidly rose, compared to a maximum of 10 yuan/mt in early morning trade.

Trades across east China spot aluminium markets remained brisk in early morning, with traded prices in Shanghai and Wuxi at 13,830-13,840 yuan/mt, up 30 yuan/mt from Monday morning.

Spot deals in Hangzhou occurred at 13,850-13,870 yuan/mt.

Following prices of futures higher, Shanghai and Wuxi quotes climbed to 13,850-13,870 yuan/mt, which sidelined buyers and thinned trades.

This, together with the absence of large purchases by major traders, weakened trading activity across eastern markets from the previous day.

Trades across southern markets, however, improved from Monday, bolstered by more active traders.

Traded prices in Guangdong were heard at 13,830-13,840 yuan/mt before rising to 13,840-13,860 yuan/mt.