
The dollar index climbed close to 90, the highest in nearly a month, supported by US-China trade tension and higher US Treasury yields.Base metals ended mostly higher as LME aluminium went up 0.22%. SHFE aluminium dipped 0.53%.
LME aluminium dipped in the European session after it traded robustly in the Asian trading session. The contract ended the day’s trading lower at US$ 1766 per tonne. It regained losses from the previous day and ended 0.22% higher at US$1,793.5 per tonne overnight. We see it trading at US$1,795-1,805 per tonne today.
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As on May 21, LME aluminium cash (bid) price stood at US$ 1765.50 per tonne, LME official settlement price stands at US$ 1766 per tonne; 3-months bid price stands at US$ 1803 per tonne, 3-months offer price is US$ 1805 per tonne; Dec 20 bid price stands at US$ 1920 per tonne, and Dec 20 offer price stands at US$ 1925 per tonne.
The LME aluminium opening stock stood at 1225400 tonnes. Live Warrants totalled at 752100 tonnes, and Cancelled Warrants were 473300 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1796 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 2052 per tonne from US$ 2065 per tonne yesterday.
The most traded SHFE July contract recovered some ground to RMB 14,280 per tonne before a loss of nearly 4,000 lots in long positions forced it to give up those gains to close at RMB 14,250 per tonne, down 0.31% on the day. Norsk Hydro’s Monday announcement that it can resume full output at its Alunorte alumina refinery following a ruling by a Brazilian federal court put pressure on the prices. Higher costs of alumina will keep the most-active SHFE July contract at RMB 4,150-14,200 per tonne today.
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