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Aluminium win not saying muchr vows to avoid troubl
Edited by : AL CIRCLE
1 min read
AMONG the base metals, tin was the star of 2010. So far in 2011, the unlikely winner is aluminium.
Yes, the same metal who stockpiles in London Metal Exchange warehouses now stands at 4.55 million tonnes, and which fell heavily last night in sympathy with oil.
So aluminium is the best base metals performer in the first half of 2011. Which, as BNP Paribas says in a new report on the metal, is not saying much.
And it is certainly down from a recent six month high of $US2800 a tonne, last night closing at $US2509 a tonne.
While some signs of bullish sentiment surrounds aluminium, in the view of BNP Paribas the aluminium market is still hobbled by excessive inventories. Reported stocks and, especially, the stock-consumption ratio have fallen sharply in recent weeks. The analysts are also convinced over the past two years a good deal of inventory has piled up but has yet to be reported.
Yes, the same metal who stockpiles in London Metal Exchange warehouses now stands at 4.55 million tonnes, and which fell heavily last night in sympathy with oil.
So aluminium is the best base metals performer in the first half of 2011. Which, as BNP Paribas says in a new report on the metal, is not saying much.
And it is certainly down from a recent six month high of $US2800 a tonne, last night closing at $US2509 a tonne.
While some signs of bullish sentiment surrounds aluminium, in the view of BNP Paribas the aluminium market is still hobbled by excessive inventories. Reported stocks and, especially, the stock-consumption ratio have fallen sharply in recent weeks. The analysts are also convinced over the past two years a good deal of inventory has piled up but has yet to be reported.
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