Aluminum - SHMET Import Market Briefing

Date 12/6/2017 4:31:32 PM Source: SHMET

Traders reported that spot premiums CIF shanghai remained at level $95-$115 as usual, so did the physical warrants. LME C-3m valued edged to $16.5C. SHFE Spot/LME 3M arb flattened out at 6.92, suggesting importing may lose around RMB2584/mt in spot market and RMB2535/mt in forward market.  

The overvaluation situation of SHFE aluminum has eased, and the aluminum products export has been profitable again. The impact of environmental protection on downstream demand has increased. It is now expected that it’s hard to see a turning point in the electrolytic aluminum inventory in the fourth quarter. However, there will be the inventory accumulation stage in mid-February. Electrolytic aluminum market sentiment is still depressed and the trading volumes have no obvious increase, with traders keeping stepping aside.


Edited by SHMET