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27 NOVEMBER 2017 AL CIRCLE

A tuned down USD index lifts LME aluminium prices; bearish trend getting weak

EDITED BY : DIPANWITA GUPTA 2MINS READ

LME aluminium has edged further up after the marginal gains last week. Buoyed by a declining dollar index, the light metal contract rose from US$2,090 per tonne on Thursday, November 24 to US$2,104 per tonne on Friday, November 27. However, since aluminium raw material prices are trending low (alumina spot and bauxite prices dropped by 12-20 yuan per tonne in China major markets), volatility will continue in the near term. Any rise in LME aluminium this week will be limited.

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As on November 24, LME official cash buyer aluminium price (Bid Price) stands at US$2,103 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,104 per tonne, 3M Bid Price is US$2,119 per tonne, 3M Offer Price is US$2,120 per tonne, Dec1 Bid Price is US$2,167 per tonne, and Dec1 Offer Price is US$2,172 per tonne. LME aluminium Opening Stock or the LME aluminium inventory level stands at 1124975 tonnes, total Live Warrants is 893300 tonnes, and Cancelled Warrant is 231675 tonnes.   

SME and SHFE Aluminium Price Trend

The benchmark aluminium price on Shanghai Metal Exchange has slipped from US$2,243 per tonne on November 24, to US$2,237 per tonne on November 27.  

In China domestic sector, some capital is reportedly leaving market with moderate profits as the bearish trend is getting weaker. SHFE aluminium price movement as on November 24 was as follows:

Shanghai Metals Market predicts that the overall aluminium prices on Shanghai Futures Exchange will keep volatile in the near term with slight rise in the major contracts. On Monday, November 27, SHFE aluminium will move above the 5-day moving average in the range of 15,000-15,180 yuan per tonne, with spot premium moving between discount 180-140 yuan per tonne.

Tagged with:

LME Aluminium Price Inventory

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EDITED BY : DIPANWITA GUPTA 2MINS READ

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