
According to Shanghai Metals Market, social inventories of primary aluminium across eight major consumption areas in China, including SHFE warrants, came down again by 40,000 tonnes from last Thursday, November 1, to 1.485 million tonnes as of today, November 8.
SMM believes fewer arrivals to the warehouses accounted for the extended decline in social inventories.
{alcircleadd}In Wuxi and Jiangsu, the inventory dropped from straight from 659000 tonnes, as on November 1, to 643,000 tonnes today while the inventory in Shanghai plunged from 346,000 tonnes to 341,000 tonnes. Inventories in some markets like Hangzhou, Zhejiang; Linyi, Shandong; and Chongqing, on the other hand, rose a bit from 97,000 tonnes to 98,000 tonnes, from 23,000 tonnes to 25,000 tonnes, and from 22,000 tonnes to 24,000 tonnes, respectively.
For more details, refer to the chart below.

In this background, the A00 aluminium ingot price also recorded a surge today by RMB 80 per tonne to stand at RMB 13890 per tonne. The average prices are expected to hover between RMB 13870 per tonne and RMB 13910 per tonne, with spot discounts still remaining the same at RMB 60 per tonne to RMB 20 per tonne.

The surge in price has touched all the major Chinese markets as well. In the east, the price grew by RMB 85 per tonne and clocked at RMB 13895 per tonne while in the south and north, the prices surged by RMB 80 per tonne and RMB 35 per tonne to stand at RMB 13980 per tonne and RMB 13870 per tonne, respectively.
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