SHANGHAI, Jul 4 (SMM) –East China: At the beginning of last week, the supply of goods in the market was tight, and cargo holders maintained small premiums. In the second half the week, sellers rushed to sell due to month-end settlement, while downstream purchases declined. The premiums of SMM A00 aluminium ingots over the SHFE 2307 contract narrowed from 300 yuan/mt at the beginning of the week to 270 yuan/mt.
Gongyi: Massive cargo arrivals after the holiday led to sell-off, while downstream buyers restocked only as needed. Discounts expanded from 180 yuan/mt last Monday to 200 yuan/mt on Friday against east China.
South China: At the beginning of the week, tight supply and downstream restocking drove premiums to rise from 300 yuan/mt to 490 yuan/mt. In the second half of the week, cargoes were shipped from Gongyi to south China to tap into the large price difference between the two regions, causing premiums in south China to fall back from highs to 450 yuan/mt.
