
The US dollar was flat against a basket of currencies on Wednesday, recovering from losses from downbeat US factory activity data. LME base metals closed higher across the board on Wednesday. LME aluminium climbed 0.2% and SHFE aluminium gained 0.1% and zinc inched up 0.03%.
Three-month LME aluminium climbed to a high of US$1,833 per tonne on Wednesday, before it erased some gains to end 0.19% higher at US$1,824.5 per tonne. The load-up of long positions primarily accounted for the gains. It is expected to trade between US$1,800-1,840 per tonne today.
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As on July 24, Wednesday, LME aluminium cash (bid) price stood at US$ 1795 per tonne, LME official settlement price stands at US$ 1795.50 per tonne; 3-months bid price stands at US$ 1826 per tonne, 3-months offer price is US$ 1827 per tonne; Dec 20 bid price stands at US$ 1930 per tonne, and Dec 20 offer price stands at US$ 1935per tonne.
The LME aluminium opening stock dropped yesterday to 953500 tonnes. Live Warrants totalled at 691075 tonnes, and Cancelled Warrants were 262425 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1827 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange (SME) increased to US$ 2005 per tonne today from US$ 2001 per tonne on Wednesday.
The most-active SHFE September contract traded rangebound below all moving averages with a high of RMB 13,805 per tonne yesterday, ending down 0.07% on the day at RMB 13,790 per tonne. The SHFE September contract rose to a high of RMB 13,825 per tonne overnight before it eased to end 0.11% higher at RMB 13,790 per tonne. It is expected to trade between RMB 13,750-13,850 per tonne today, with spot prices at a discount of RMB 20 per tonne to a premium of RMB 20 per tonne.
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