Hi veritas:
A way of shielding a magnetic field is to use a material that would "trap" the magnetic field before it reaches the point that you want to shield it from. This can be achieved by placing a low reluctance material (one with low "resistance" to magnetic flux, i.e. silicon steel, like the one used to build transformer cores) betweeen the magnetic flux source and the shielded point. As an example imagine a bar magnet, this type of magnet has a magnetic field around it, which you can easily see by placing metal filings in a paper sheet on top of the magnet. If you totally enclose the magnet with a box of steel and repeat the metal filings experiment, you would see a much weaker field or not one at all out side the box. This is explained because most of the magnetic flux lines get traped by the magnetically soft material (the steel box) before they reach the outside of the box. However, there is a precaution you must have with alternating currents. Since the shielding material is also a conductor, if you form a closed circuit with it around an energized source, it would induce circulating currents within the shielding material. To avoid this you just have to close the magnetic circtuit without closing the electrical one, i.e. by just traslaping the closing ends of the shield, this would sourround the source without closing an electrical circuit.