
The US dollar index rebounded and closed at 96.49 last Friday on upbeat US non-farm payrolls. However, concerns about data for the upcoming service purchasing managers’ index (PMI) limited the rise of the US dollar. LME and SHFE base metals ended higher for the most part on Friday night. Aluminium rose 0.56%.
LME aluminium surged twice and touched a high of US$2,005.5 per tonne last Friday night after closing the day’s trading at US$ 1967 per tonne. Limited support brought it to settle at US$1,987 per tonne. It is expected to trade at US$1,960-2,010 per tonne today.
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As on November 2, Friday, LME aluminium cash (bid) price stood at US$ 1966.50 per tonne, LME official settlement price stands at US$ 1967per tonne; 3-months bid price stands at US$ 1984.50 per tonne, 3-months offer price is US$ 1985 per tonne; Dec 19 bid price stands at US$ 2040 per tonne, and Dec 19 offer price stands at US$ 2045 per tonne.
The LME aluminium opening stock dropped to 1051425 tonnes. Live Warrants totalled at 728350 tonnes, and Cancelled Warrants were 323075 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1990.29 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange increased to US$ 2006 per tonne today from US$ 1995 per tonne on November 2.
As SHFE base metals contracts rallied across the board in the afternoon on Friday, the SHFE 1901 contract also broke pressure at the daily moving average and rose to an intraday high of RMB 14,010 per tonne. Without strong support, the contract edged down from highs to settle at RMB 13,970 per tonne. The contract then received support and rose to a high above the five-day moving average at one point last Friday night, as base metals increased for the most part on a lower US dollar. It settled at RMB 13,960 per tonne and will trade at RMB 13,900-14,000 per tonne today. Spot discounts are set at RMB 70-30 per tonne.
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