
The US dollar strengthened against the euro on Wednesday after European data signalled that economic growth could be waning across the Eurozone. Both LME and SHFE base metals ended in mixed performance overnight. As the dollar strengthened, LME aluminium closed the European trading session lower at US$ 1987.50 per tonne on Wednesday. The contract continued to make losses during Asian trading sessions and tumbled to US$1,996 per tonne overnight, the lowest in close to six months. It rebounded slightly by closing time and settled at US$2,004 per tonne. It has closed lower for six consecutive trading days. The contract is likely to trade at US$1,990-2,020 per tonne today.

As on October 24, Wednesday, LME aluminium cash (bid) price stands at US$ 1987 per tonne, LME official settlement price stands at US$ 1987.50 per tonne; 3-months bid price stands at US$ 2003 per tonne, 3-months offer price is US$ 2005 per tonne; Dec 19 bid price stands at US$ 2058 per tonne, and Dec 19 offer price stands at US$ 2063 per tonne.
The LME aluminium opening stock dropped to 1052025 tonnes. Live Warrants totalled at 748100 tonnes, and Cancelled Warrants were 303925 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 2007 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 2036.5 per tonne today from US$2047 per tonne on October 24.
The SHFE 1812 contract extended its buoyant trend overnight as it registered a fourth consecutive day of increase, and settled at RMB 14,250 per tonne yesterday. After falling to session lows of RMB 14,190 per tonne, the SHFE 1812 contract rebounded and clawed back most earlier losses overnight. Recent output cuts at some domestic primary aluminium and alumina producers failed to support aluminium prices. The contract is expected to trade at RMB 14,160-14,300 per tonne today with spot discounts at RMB 70-30 per tonne. The contract is expected to continue to test pressure above at the 10-day moving average.
Responses







