LME aluminium closed 0.27% lower at US$ 1841 /t; SHFE closed slightly lower

The US dollar increased against a basket of currencies, to a near three-month peak as the euro sold off. Base metals declined for the most part last night. LME aluminium inched up and SHFE aluminium closed slightly lower. 

LME aluminium price closed lower from previous day at US$ 1841 per tonne during the day’s closing yesterday. This was down 0.27% from US$ 1846 per tonne.

LME aluminium rebounded after it dipped to a low of US$1,857 per tonne. The metal ended at US$1,863 per tonne. LME aluminium is likely to trade at US$1,840-1,890 per tonne today.

As on March 7, LME aluminium cash (bid) price stood at US$ 1840.5 per tonne, LME official settlement price stands at US$ 1841 per tonne; 3-months bid price stands at US$ 1863 per tonne, 3-months offer price is US$ 1864 per tonne; Dec 20 bid price stands at US$ 1995 per tonne, and Dec 20 offer price stands at US$ 2000 per tonne.  

The LME aluminium opening stock dropped to 1229000tonnes. Live Warrants totalled at 657400 tonnes, and Cancelled Warrants were 571600 tonnes.

LME aluminium 3-months Asian Reference Price is hovering at US$ 1859 per tonne.

SME and SHFE Aluminium Price Trend

The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 2006 per tonne today from US$ 2008 per tonne on March 7. 

The most liquid SHFE May aluminium contract pared some earlier losses to close the trading day 0.59% lower at RMB13,480 per tonne on Thursday. SHFE aluminium has yet to find a direction in the face of anticipated cost decline, consumption recovery and tax cuts.

As shorts exited, the SHFE 1905 contract inched up overnight, with the K-line testing pressure at the 20-day moving average. SMM expects the contract to trade at RMB13,400-13,600 per tonne, with spot discounts at RMB50-10 per tonne.