
LME base metals traded mixed on Tuesday and aluminium rose 1.6%. SHFE base metals performed similarly overnight and aluminium gained 0.5%.
LME aluminium closed Tuesday's trading at US$ 1853 per tonne. After hovering in a tight range above the daily moving average during Asian trading hours, the contract broke through the 10-, five- and 40-day moving averages to a high of US$1,901 per tonne during European trading hours. It finished Tuesday night higher at US$1,898 per tonne, and is expected to trade rangebound at US$1,880-1,905 per tonne today.
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As on January 29, LME aluminium cash (bid) price stood at US$ 1852 per tonne, LME official settlement price stands at US$ 1853 per tonne; 3-months bid price stands at US$ 1875 per tonne, 3-months offer price is US$ 1875.50 per tonne; Dec 19 bid price stands at US$ 2017 per tonne, and Dec 19 offer price stands at US$ 2023 per tonne.
The LME aluminium opening stock decreased to 1296125 tonnes. Live Warrants totalled at 756550 tonnes, and Cancelled Warrants were 539575 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1874 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange increased to US$ 2001per tonne today from January 29.
A buildup of over 1,000 lots of short positions in five minutes, together with pressure from the 40- and 60- day moving averages weighed the SHFE 1903 contract from a high of RMB 13,465 per tonne in the early morning, to a low of RMB 13,385 per tonne before noon yesterday. The contract fell below support at the 10- and 20-day moving averages, and closed at RMB 13,410 per tonne on Tuesday. The contract then strengthened to close at RMB 13,500 per tonne overnight, and is expected to hover at RMB 13,450-13,580 per tonne today. Spot discounts are seen at RMB 90-50 per tonne.
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