Shanghai Metals Market
Shanghai Metals Market Morning Review - 2011/12/12 Aluminum Market
Edited by : AL CIRCLE
1 min read
China’s CPI growth continued to drop but industrial output contracted as well, according to data released last Friday. Euro zone countries struck a uniformed fiscal agreement during the day’s EU summit, which helped ease investors’ worries. Such ease, however, was discounted due to a lack of details for the agreement.
The LME aluminum stock surged 43,000 mt last Friday, damping longs’ confidence. While transactions almost dropped by half, the metal ended its straight 5-day drop closing at USD 2,071/mt with a 0.5% gain.
SMM expects LME aluminum to fluctuate between USD 2,050-2,090/mt and the most active SHFE three-month aluminum contract between RMB 16,050-16,150/mt during today’s trading. Traders’ selling interest will be high as the delivery date is near. Spot aluminum is expected to maintain premiums between positive and negative RMB 20/mt over the SHFE current-month aluminum price. The downstream buying interest will be low, though. The traded volume therefore will stay limited.
The LME aluminum stock surged 43,000 mt last Friday, damping longs’ confidence. While transactions almost dropped by half, the metal ended its straight 5-day drop closing at USD 2,071/mt with a 0.5% gain.
SMM expects LME aluminum to fluctuate between USD 2,050-2,090/mt and the most active SHFE three-month aluminum contract between RMB 16,050-16,150/mt during today’s trading. Traders’ selling interest will be high as the delivery date is near. Spot aluminum is expected to maintain premiums between positive and negative RMB 20/mt over the SHFE current-month aluminum price. The downstream buying interest will be low, though. The traded volume therefore will stay limited.
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