Aluminium futures traded higher on Thursday, supported by firm global market trends and sustained buying by traders amid optimism over demand for the industrial metal.

On the Multi Commodity Exchange (MCX), the July contract rose Rs 1.95, or 0.58%, to Rs 339.40 per kg, while the August contract gained Rs 2.50, or nearly 1%, to Rs 340.65 per kg.

Market participants attributed the gains to positive overseas cues and continued buying interest, reflecting confidence in demand prospects for aluminium.