Aluminium Spot Discount Shrinks to 60 yuan/mt amid Increasing Bonded Inventory

SHANGHAI, Nov 23 (SMM) – According to SMM survey, the inventory of aluminium ingot in Shanghai bonded area has been increasing for 4 consecutive weeks, and is likely to keep rising this week, which will widen the import losses. The premiums of Yangshan aluminium in the bonded area have dropped to a low level. The holders put the spots into bonded areas due to the losses. Although the current MJP aluminium prices are relatively hight, the traders have not increased the re-exports intensively.

The imports of aluminium ingots continue to fall, while the domestic downstream users are restocking. The prices fluctuated within a narrow range, and the spot discount has shrunk by 20 yuan/mt from yesterday to around 60 yuan/mt over SHFE 2112 aluminium contract in east China.