
The US dollar was steady against the euro and slipped against the risk-sensitive Aussie, as investors digested China-US tariff news. The dollar index, which measures the greenback against a basket of six other major currencies, dipped about 0.1% at 94.50.Base metals traded with pressure for the most part.
LME aluminium closed the day's trading lower at US$ 1981 per tonne on Wednesday, September 19. It slid to the lowest of the week at US$2,015 per tonne during the European trading session. With support at the five-day moving average,it finally settled at US$2,030 per tonne. Shanghai Metals Market forecasts it to trade at US$2,020-2,070 per tonne today.
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As on September 19, LME aluminium cash (bid) price stands at US$ 1980 per tonne, LME official settlement price stands at US$ 1981 per tonne; 3-months bid price stands at US$ 2018 per tonne, 3-months offer price is US$ 2020 per tonne; Dec 19 bid price stands at US$ 2068 per tonne, and Dec 19 offer price stands at US$ 2073 per tonne.
The LME aluminium opening stock dropped to 1034625 tonnes. Live Warrants totalled at 724600 tonnes, and Cancelled Warrants were 310025 tonne.
LME aluminium 3-months Asian Reference Price is hovering at US$ 2039.04 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange increased to US$ 2124 per tonne today from US$ 2102 per tonne on September 19.
As shorts covered and longs built their positions, the SHFE 1811 contract increased to an intraday high of RMB14,575 per tonne before it slid to end at RMB14,535 per tonne yesterday. Open interest for the October and November contracts shrank more than 160,000 lots, compared to a 10,716-lot decline in open interest for the SHFE aluminium complex.
The SHFE 1811 contract rebounded after dipping to a low of RMB14,490 per tonne. SMM expects the 1811 contract to trade at RMB14,480-14,700 per tonne today. Spot offers are set at a discount of RMB30 per tonne to a premium of RMB30 per tonne.
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