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30 AUGUST 2017 AL CIRCLE

LME aluminium likely to swing widely; may retrace US$2,065/t

EDITED BY : DIPANWITA GUPTA 2MINS READ

LME aluminium seems to be somewhat losing its steam. The light metal which closed at US$2096.50 last Friday, August 25, dropped to US$2,092 per tonne on Tuesday, August 29. As per Shanghai Metals Market forecast, LME aluminium will continue to move widely around the 5-day and 10-day moving averages and range at US$2,075-2,100 per tonne on Wednesday, August 30.

Reuters’ technical analysis suggests that LME aluminium may retrace US$2,065 per tonne, the low reached on August 25, as its correction has yet not completed.

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As on August 29, LME official cash buyer aluminium price (Bid Price) stands at US$2,090 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,092.50 per tonne, 3M Bid Price is US$2,103 per tonne, 3M Offer Price is US$2,104 per tonne, Dec1 Bid Price is US$2,143 per tonne, and Dec1 Offer Price is US$2,148 per tonne. LME aluminium Opening Stock stands at 1324550 tonnes, total Live Warrants is 1141975 tonnes, and Cancelled Warrant is 182575 tonnes.

SME and SHFE Aluminium Price Trend

The benchmark aluminium price at Shanghai Metal Exchange (SME) has again dropped marginally from US$2,430 per tonne on Tuesday, August 29 to US$2,427 per tonne on Wednesday, August 30.

At Shanghai Futures Exchange (SHFE), trading was weak on Tuesday, August 29 due to month-end cash crunch. Mainstream traded aluminium prices were RMB 16,090-16,130 per tonne in Guangdong, a premium of RMB 90 per tonne over Shanghai, reported SMM. The otherwise active aluminium contract on the bourse, SHFE 1711 aluminium is expected to range within RMB 16,200-16,550 per tonne on Wednesday, August 30.


In east China aluminium spot market, spot discounts over SHFE 1709 aluminium are expected to range at RMB 200-180 per tonne on Wednesday.

The market focus will be on the U.S. crude oil inventory data, Eurozone economic climate index, U.S. specific ADP’s employment in August, revised core PCE goods price index and revised annualized Q2 GDP on Wednesday, August 30, SMM said.   

Tagged with:

LME Price China Forecast SMM

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EDITED BY : DIPANWITA GUPTA 2MINS READ

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