
The US dollar declined against a basket of currencies on Monday as recent strong economic data eased concerns about the global economy. However, the index remained above 97. LME base metals traded mixed on Monday. LME aluminium fell 0.5% and SHFE aluminium fell 0.3%.
Three-month LME aluminium fell from earlier highs to US$1,866 per tonne, its lowest in close to four weeks, on Monday and ended 0.5% lower at US$1,873 per tonne. The cash contract closed at US$1858.50 per tonne on Monday. LME aluminium is expected to trade at US$1,860-1,890 per tonne today supported by the weak dollar.
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As on April 8, LME aluminium cash (bid) price stood at US$ 1858 per tonne, LME official settlement price stands at US$ 1858.50 per tonne; 3-months bid price stands at US$ 1882.50 per tonne, 3-months offer price is US$ 1883 per tonne; Dec 20 bid price stands at US$ 2012 per tonne, and Dec 20 offer price stands at US$ 2017 per tonne.
The LME aluminium opening stock dropped to 1098925 tonnes. Live Warrants totalled at 730000 tonnes, and Cancelled Warrants were 368925 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1890 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange stayed almost flat in last one week and dropped slightly from US$2057 per tonne on April 8 to US$ 2054 per tonne today.
The most-active SHFE May contract declined to the 20-day moving average after growing longs lifted it to a week-high of RMB 13,850 per tonne in the morning yesterday. As both longs and shorts exited, the contract closed slightly higher from the previous trading day at RMB 13,805 per tonne on April 8. Domestic inventories of primary aluminium shrank some 8,000 tonnes during the Qingming holiday as consumption rebound. The most traded SHFE May contract fluctuated to end 0.33% lower at RMB 13,775 per tonne overnight. It is expected to trade at RMB 13,770-13,850 per tonne today with spot premiums of up to RMB 30 per tonne.
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