Spot aluminium trades weaken after prices decline

SHANGHAI, May 28 (SMM) – Spot aluminium trades across east and south China weakened from Monday morning, on the morning of Tuesday May 28 as buyers stood on the sidelines after prices declined.

Trades in Shanghai occurred at 14,280-14,300 yuan/mt, before following prices of futures lower to 14,270-14,290 yuan/mt. This was down about 50 yuan/mt from Monday morning, and narrowed the premium over the front-month June contract on the Shanghai Futures Exchange to 10-20 yuan/mt, from 20-30 yuan/mt in the previous day.

Spot deals occurred at 14,270-14,290 yuan/mt in Wuxi and 14,310-14,330 yuan/mt in Hangzhou this morning.

Spot aluminium traded at 14,370-14,390 yuan/mt in Guangdong this morning, with the spread with Shanghai prices at 100 yuan/mt.

As the month of May draws to a close, cargoes with next-month invoices accounted for the majority of trades.