
The US dollar edged lower against a basket its rivals on Monday, holding near a one-month high after last Friday’s jump on data that confirmed the US economy is holding up well. Moves were slight and volumes thin as Lunar New Year approaches in Asia and with US markets closed for Martin Luther King day on Monday.
Three-month LME aluminium advanced 0.64 per cent on Monday to end at US$ 1,817 per tonne, its highest close in two weeks. It is expected to trade between US$1,790-1,825 per tonne today.
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LME aluminium cash (bid) price, on January 20, inched up to US$ 1806.00 per tonne from US$ 1795.5 per tonne on January 17, while LME official settlement price increased to US$ 1807.00 per tonne from US$ 1796 per tonne. 3-months bid price rose to US$ 1813.00 per tonne and 3-months offer price US$ 1814.00 per tonne. Dec 20 bid price stood at US$ 1940.00 per tonne after rising from US$ 1937 per tonne on Friday, while Dec 20 offer price came in at US$ 1945.00 per tonne.
The LME aluminium opening stock continued to drop to 1327675 tonnes. Live Warrants totalled at 666775 tonnes and Cancelled Warrants 660900 tonnes.
LME aluminium 3-months Asian Reference Price hovered at US$ 1809.98 per tonne.
SHFE Aluminium Price Trend
Benchmark aluminium price for SHFE (Shanghai Future Exchange) further decreased to US$2063 per tonne on Tuesday 21, January 2020.
The most-traded SHFE 2003 contract continued to retreat amid a withdrawal of funds and weakened demand pre-holiday. The contract opened hitting an intraday low of RMB 13,175 per tonne before ended down 0.49 per cent on the day at RMB 14,210 per tonne. Prices are expected to extend their weak and sideways trend tonight.
The most-traded SHFE 2003 contract weakened 0.11 per cent in overnight trading and ended at RMB 14,225 per tonne. It is likely to move at RMB 14,150-14,300 per tonne today. Spot prices have flipped into discounts, which are seen at a maximum of RMB 80 per tonne against the SHFE 2002 contract.
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