Lower prices fail to improve spot aluminium trades

SHANGHAI, May 29 (SMM) – Spot aluminium trades across east and south China did not improve from Tuesday morning, on the morning of Wednesday May 29, even as prices declined for two consecutive days.

The June contract on the Shanghai Futures Exchange dropped in early morning trade before it stemmed its declines by midday.

This lowered traded prices in the Shanghai spot market by 60 yuan/mt from Tuesday morning to 14,210-14,220 yuan/mt. The premium over the SHFE 1906 contract stood at a maximum of 20 yuan/mt.

Spot deals occurred at 14,210-14,220 yuan/mt in Wuxi and 14,240-14,260 yuan/mt in Hangzhou this morning.

Spot aluminium traded at 14,300-14,310 yuan/mt in Guangdong this morning, with the spread with Shanghai prices narrowed to 90 yuan/mt.

Despite brisk transactions between traders, trades failed to pick up as downstream consumers remained on the sidelines.