
The US dollar remained flat and the safe-haven yen rose, after an unexpectedly sharp fall in China’s exports grew concerns about the global economy. Base metals fell across the board overnight. LME aluminium edged down and SHFE aluminium fell 0.49%.
LME aluminium contract closed Monday’s trading at US$ 1775.5 per tonne.LME aluminium extended declines further during the European trading session, and dipped to a low of US$1,807 per tonne. It settled at US$1,830 per tonne with open interests up 6,980 lots. SMM expects the contract to trade at US$1,810-1,845 per tonne today.
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As on January 14, LME aluminium cash (bid) price stood at US$ 1775 per tonne, LME official settlement price stands at US$ 1775.50 per tonne; 3-months bid price stands at US$ 1813 per tonne, 3-months offer price is US$ 1814 per tonne; Dec 19 bid price stands at US$ 1965 per tonne, and Dec 19 offer price stands at US$ 1970 per tonne.
The LME aluminium opening stock increased to 1294050 tonnes. Live Warrants totalled at 1058575 tonnes, and Cancelled Warrants were 235475tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1834 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 1949 per tonne today from US$ 1953 per tonne on January 14.
The SHFE 1903 contract ended the trading day 0.7% lower at RMB13,285 per tonne. Declining costs and weakening demand accounted for losses in prices. The SHFE 1903 contract is unlikely to rebound significantly in the short term.
The SHFE 1902 contract trading weakly at RMB13,200-13,300 per tonne. Spot offers are expected at a discount of RMB20 per tonne to a premium of RMB20 per tonne today.
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