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11 APRIL 2019 AL CIRCLE

LME aluminium closed lower for the third consecutive day yesterday; higher demand keeps SHFE higher

EDITED BY : BEETHIKA BISWAS 2MINS READ

The US dollar stood lower against a basket of currencies on Wednesday to a little below 97. LME base metals traded lower on Wednesday. LME Aluminium dropped 0.7% and SHFE aluminium lost close to 0.3%.

Three-month LME aluminium fell to a one-month low of US$1,862 per tonne before it closed 0.67% lower at US$1,866.5 per tonne on Wednesday. LME cash contract also closed  lower yesterday in absence of strong market fundementals. It is expected to remain rangebound today with a trading range of US$1,850-1,890 per tonne.

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As on April 10, LME aluminium cash (bid) price stood at US$ 1851 per tonne, LME official settlement price stands at US$ 1852 per tonne; 3-months bid price stands at US$ 1875.50 per tonne, 3-months offer price is US$ 1876 per tonne; Dec 20 bid price stands at US$ 2008 per tonne, and Dec 20 offer price stands at US$ 2013 per tonne. 

The LME aluminium opening stock dropped to 1090625 tonnes. Live Warrants totalled at 717500 tonnes, and Cancelled Warrants were 373125 tonnes.

LME aluminium 3-months Asian Reference Price is hovering at US$ 1877 per tonne.

SME and SHFE Aluminium Price Trend

The benchmark aluminium price on Shanghai Metal Exchange dropped to US$2058 per tonne today from US$ 2060 per tonne on April 10.

The recovery of demand continued to buoy aluminium prices, as the most-liquid SHFE May contract climbed to an intraday high of RMB 13,865 per tonne and ended 0.47% higher at RMB 13,850 per tonne yesterday. Then the contract slid to end at RMB 13,810 per tonne overnight, and is expected to trade at RMB13,800-13,900 per tonne today. Spot premiums are seen up to RMB 20 per tonne over the SHFE 1904 contract.

While downstream operations were slow in Guangdong, processors in the Yangtze River Delta region and in the north returned as expected. Higher demand will continue to support prices. 

Tagged with:

Aluminium Price LME

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EDITED BY : BEETHIKA BISWAS 2MINS READ

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