
The dollar dipped on Tuesday, August 25, as investors waited on comments from Federal Reserve Chairman Jerome Powell about the US central bank’s policy framework review, and after data showed improving German business morale.
Three-month LME aluminium settled 0.51 per cent higher at US$ 1,779 per tonne on Tuesday.
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LME aluminium cash (bid) price and LME official settlement price, however, stood slightly lower at US$ 1733 per tonne, as of Tuesday, August 25. 3-months bid price and 3-months offer price came in at US$ 1773.50 per tonne, down by US$ 2.5 per tonne from US$ 1776 per tonne on August 24. Dec 21 bid price and Dec 21 offer price hovered at US$ 1850.50 per tonne.
The LME aluminium opening stock continued to decline to 1567375 tonnes. Live Warrants hovered at 1342775 tonnes, while Cancelled Warrants at 224600 tonnes.
LME aluminium 3-months Asian Reference Price stood at US$ 1770.63 per tonne.
SHFE Aluminium Price Trend
Benchmark aluminium price for SHFE extended rise for the second consecutive day to US$ 2130 per tonne on Wednesday, August 26.
The most-liquid SHFE 2009 aluminium contract ended 0.48 per cent lower at RMB 14,590 per tonne today. Open interest fell 5,978 lots to 99,467 lots. The situation of hedging and arbitrage will be monitored.
The most-liquid SHFE 2009 aluminium contract reversed some earlier losses to close flat at RMB 14,675 per tonne in overnight trading. It is expected to move between RMB 14,650-14,800 per tonne today, while spot premiums are seen lower at RMB 40-60 per tonne.
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