
Three-month LME aluminium climbed 0.15 per tonne to close at US$ 1,973 per tonne on Tuesday, with open interest falling to 742,000 lots. The impact of LME aluminium inventory changes on prices should continue to be monitored. It is expected to trade between US$ 1,900-2,010 per tonne today.

As of Tuesday, January 19, LME aluminium cash (bid) price and LME official settlement price plunged by US$ 28 per tonne to stand at US$ 1951.50 per tonne, marking the third consecutive day of decline. 3-months bid price and 3-months offer price stood at US$ 1958 per tonne, down by US$ 26 per tonne from US$ 1984 per tonne on January 18. Dec 21 bid price and Dec 21 offer price hovered around US$ 2038 per tonne.
The LME aluminium opening stock increased further from 1397075 tonnes to 1414675 tonnes. Live Warrants totalled 1325225 tonnes, while Cancelled Warrants stood at 89450 tonnes.
LME aluminium 3-months Asian Reference Price came in at US$ 1962.96 per tonne.
SHFE Aluminium Price Trend
Benchmark aluminium price for SHFE decreased for the second day in a row to stand at US$ 2271 per tonne on Wednesday, January 20, 2021.
The most-traded SHFE 2103 aluminium contract ended the day 1.24 per cent lower at RMB 14,745 per tonne. Weekly inventories of aluminium ingots are likely to continue to build up as consumption weakens before the Chinese New Year holiday.
The most-liquid SHFE 2013 aluminium contract fell 0.78 per cent to settle at RMB 14,710 pert tonne on Tuesday night, and is likely to trade between RMB 14,600-14,950 per tonne today. The impact of inventory changes on market sentiment and contract structure should continue to be monitored. Spot premiums for the contract will be seen higher at RMB 40-80 per tonne.
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