China’s primary inventory rise over the weekend results in A00 aluminium ingot price fall

After an incessant fall over the past ten consecutive weeks, China’s inventory of primary aluminium across eight major markets, including SHFE warrants, inched up 17000 tonnes over the weekend ended on July 16, 2018, to stand at 1.82 million tonnes, Shanghai Metal Market data showed.

On last Monday, July 9, the primary aluminium inventory stood at 1.83 million tonnes, while on Thursday, July 12, the inventory dwindled to 1.8 million tonnes. This indicates that although the inventory marked a growth today from Thursday, July 12, yet remained lower from the previous Monday, July 9.

On the other hand, despite a growth in inventory across the major Chinese markets, a few cities like Gongyi and Henan, Tianjin, Chongqing, and Linyi and Shandong displayed a plunge or restraint. The table below would establish the movements in more details:

The A00 aluminium ingot spot price recorded a fall today on the face of aluminium inventory rise, according to the SMM. As of July 16, the ingot spot price stood at RMB 13870 per tonne after declining from RMB 13970 per tonne, as on July 13. This means the price today registered a fall by RMB 100 per tonne.  The average prices are expected to range between RMB 13850 per tonne and RMB 13890 per tonne, with spot price discounts to settle at RMB 20 per tonne.

While in the east, the price plunged from RMB 13970 per tonne to RMB 13860 per tonne, in south and north, the prices fell from RMB 14045 per tonne to RMB 13945 per tonne and from RMB 13980 per tonne to RMB 13880 per tonne, respectively.