SHANGHAI, Jun 30 (SMM) – The most-traded SHFE 2308 aluminum contract opened at 17,920 yuan/mt overnight, with its low and high at 17,895 yuan/mt and 17,960 yuan/mt before closing at 17,925 yuan/mt.
It fell by 60 yuan/mt, or 0.33%. LME aluminum opened at $2,174.5/mt last Friday, with its low and high at $2,148/mt and $2,183/mt respectively before closing at $2,161/mt, a drop of $15.5/mt or 0.71%.
There are growing expectations for interest rate hikes in the United States and Europe. Production resumption in Yunnan will also grow supply pressure. Aluminum ingot and billet stocks both rose after the Dragon Boat Festival due to poor demand. SHFE aluminum is expected to hover around 18,000 yuan/mt, with downside room being limited by low inventory.
