SHANGHAI, Apr. 2 (SMM) –LME aluminum climbed to USD 1,793/mt after opening at USD 1,785/mt on Wednesday, helped by positive China March official manufacturing PMI. But prices fell back to USD 1,779/mt later on worse-than-expected US ADP employment reported, and ended at RMB 1,779/mt. Trading volumes increased 2,145 lots to 14,281 lots, with positions down 8,078 to 802,803.
SHFE 1506 aluminum contract slipped to RMB 13,330/mt after starting Wednesday’s night session at RMB 13,350/mt, and closed at a session high of RMB 13,380/mt. Trading volumes totaled 9,208 lots, with positions up 786 to 126,186.
The technical side is positive, so the most active SHFE aluminum contract should move higher to RMB 13,350-13,400/mt on Thursday. In China’s spot market, suppliers will hold back goods in hopes of better prices, with spot discounts of RMB 120-160/mt expected over SHFE front-month aluminum contract.