SHANGHAI, Aug 19 (SMM) – Spot aluminium trades in east China were poor in the morning of Monday August 19, as sellers held back from offloading their cargoes after prices of futures rapidly rose.
The front-month September contract on the Shanghai Futures Exchange climbed this morning, paring losses from Friday night.
Spot deals were done at 14,270-14,290 yuan/mt in Shanghai and Wuxi, with the premium over the SHFE 1909 contract narrowing to a maximum of 10 yuan/mt. There were extremely limited spot trades done in Hangzhou.
In early morning trade, traded prices were heard at 14,230-14,240 yuan/mt in Shanghai and Wuxi, with premiums over the futures contract at 10-20 yuan/mt.
The higher prices also deterred downstream consumers from stepping up purchases after the weekend, keeping spot aluminium trades across eastern markets poor.
The southern markets, however, saw brisk spot aluminium trades this morning, as traders were keen to make transactions and as downstream consumers restocked.
With a premium of up to 20 yuan/mt over the SHFE 1909 contract, spot trades were done at 14,270-14,290 yuan/mt from 14,250-14,260 yuan/mt in early morning in Guangdong.