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31 AUGUST 2017 AL CIRCLE

LME aluminium drops; neutral trading expected in US$2,081-2,103/t range

EDITED BY : DIPANWITA GUPTA 2MINS READ

LME aluminium continues to move in a wide trading range. From the earlier close of US$2,092 per tonne on Tuesday, August 29, the light metal contract fell to US42,066.5 per tonne on Wednesday, August 30. According to Shanghai Metals Market forecast, LME aluminium will continue to hover around its 5-day and 10-day moving averages in the foreseeable future, and range at US$2,075-2,100 per tonne on Thursday, August 31.

Reuters’ technical analysis suggests that LME aluminium is neutral in the US$2081-2,103 per tonne range; any escape from this bracket would suggest a trend. An extend stay below US$2,119 per tonne level might enhance the chance of the light metal going down towards US$1,958 per tonne.

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As on August 30, LME official cash buyer aluminium price (Bid Price) stands at US$2,066 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,066.50 per tonne, 3M Bid Price is US$2,085.50 per tonne, 3M Offer Price is US$2,086 per tonne, Dec1 Bid Price is US$2,125 per tonne, and Dec1 Offer Price is US$2,130 per tonne. LME aluminium Opening Stock stands at 1324325 tonnes, total Live Warrants is 1146025 tonnes, and Cancelled Warrant is 178300 tonnes.

SME and SHFE Aluminium Price Trend

The benchmark aluminium price at Shanghai Metal Exchange (SME) continues to fluctuate within a narrow range. The benchmark price has again inched up from US$2,427 per tonne on Wednesday, August 30 to US$2,447 per tonne on Thursday, August 31.

During night trading on Wednesday, August 30, base metals at Shanghai Futures Exchange (SHFE) were split with most of the contracts falling back. Mainstream traded prices were RMB 15,950-15,970 per tonne in Shanghai, RMB 15,940-15,960 per tonne in Wuxi and RMB 15,950-15,960 per tonne in Hangzhou. SMM predicts that the otherwise active aluminium contract on the bourse, SHFE 1711 aluminium will range at RMB 16,250-16,600 per tonne on Thursday, August 31.

In east China aluminium spot market, spot discounts over SHFE 1709 aluminium are expected to range at RMB 240-200 per tonne on Thursday.  


The market focus will be on China official manufacturing PMI in July, Eurozone July unemployment rate, annualized August CPI before seasonal adjustment, the number of initial jobless claims, US annualized July core PCE goods price index, US household spending in July, Chicago August PMI and seasonally adjusted existing home sales in July on Thursday, August 31, SMM said.   

Tagged with:

LME Price Aluminium

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EDITED BY : DIPANWITA GUPTA 2MINS READ

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