A fluctuating, weak dollar to support LME aluminium prices at highs on Monday

<p>LME aluminium has been increasing steadily over the last few days. On Friday, after night trading, the contract closed at US$1,790.5 per tonne, inching higher by 0.13 per cent from the previous closing of US$1,788 per tonne on Thursday. Shanghai Metals Market predicts LME aluminium will keep rising higher on Monday, January 16, and will move in the range of US$1,810-1,830 per tonne. A fluctuating US dollar index near the lows is responsible for the rise in base metals. <br /><br />&ldquo;The dollar now fluctuates at lows, and this will support base metal prices, but with possible declines technically,&rdquo; SMM says. <br /><br />Iraq has also confirmed cut in oil output. So, crude oil prices will expectedly rise higher supporting the accelerating base metals on the bourse. <br /><br /><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/LMEAluminiumJan16.png" alt="News" width="517" height="226" /></p> <p>As on January 13, LME official cash buyer price of aluminium stands at US$1,790 per tonne, cash seller &amp; settlement price is US$1,790.5 per tonne, 3M buyer price is US$1,791 per tonne, 3M seller price is US$1,792, Dec1 buyer price is US$1,835 per tonne, and Dec1 seller price is US$1,840 per tonne. The current LME official Opening Stock of aluminium is estimated at 2248875 tonnes, total Live Warrants is 1601675 tonnes, and Cancelled Warrant is 642500 tonnes. <br /><br />LME Premiums stand where they were on January 10. As on January 12, the US Premium stands at US$180, LME Aluminium West-Europe Premium is US$75, LME Aluminium East-Asia Premium is US$90 and LME Aluminium South-East Asia Premium is US$15. <br /><br />In China, the benchmark price of aluminium on Shanghai Metal Exchange stands at US$1,914 per tonne on Monday, down 0.72 per cent from US$1,928 per tonne on Friday.</p> <p>{googleAdsense}</p> <p>Aluminium traded on Shanghai Futures Exchange is predicted to hover at at RMB 13,350-13,550 per tonne on Monday. SHFE 1703 aluminum closed at RMB 13,395 per tonne on Friday.</p> <p>Spot aluminium in China&rsquo;s domestic market is estimated to trade at discounts of RMB 120-80 per tonne on Monday.</p>