India Infoline
China Automobile Sales Declines Can Influence Aluminium
Edited by : AL CIRCLE
2 min read
Aluminium that is majorly used in Automobiles can be influenced by ordinary China automobile numbers. Recently, statistics from China Association of Automobile Manufacturers showed that the automobile sales were down by 7.3% in October 2011 compared with September 2011. The automobile sales were down by 1% compared to October 2010. Among the gainers, passenger car sales were up by 1.4% to 1220779 on a year on year basis in October. However, sales of commercial vehicles were down by 10% to 304043 units.
On a cumulative basis, sales of automobiles in Jan-Oct 2011 were up by 3.1% from Jan-Oct 2010. Sales of passenger cars climbed by 5.8% in Jan-Oct 2011 while Commercial vehicles declined by 5.2% from a year earlier.
MCX Aluminium is unchanged on Monday trading at Rs. 106.9 per kg. LME Aluminium had a decent outing last week and ended at 1.3%. The markets are capped at $ 2000-2100 per ton on the upside. Although the fall in Chinese numbers is more seasonal but the end user demand for the month of November will be the key for the metal. One has already seen a fall in China Aluminium imports compared to exports on a yearly basis. A rise is indicative of inventories moving out of the warehouses for exports rather than demand based buying.
On a cumulative basis, sales of automobiles in Jan-Oct 2011 were up by 3.1% from Jan-Oct 2010. Sales of passenger cars climbed by 5.8% in Jan-Oct 2011 while Commercial vehicles declined by 5.2% from a year earlier.
MCX Aluminium is unchanged on Monday trading at Rs. 106.9 per kg. LME Aluminium had a decent outing last week and ended at 1.3%. The markets are capped at $ 2000-2100 per ton on the upside. Although the fall in Chinese numbers is more seasonal but the end user demand for the month of November will be the key for the metal. One has already seen a fall in China Aluminium imports compared to exports on a yearly basis. A rise is indicative of inventories moving out of the warehouses for exports rather than demand based buying.
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