
The US dollar held its ground against its rivals on Monday, after a sharp rally last Friday boosted by the stronger-than-expected US jobs data. LME base metals closed mixed on Monday and aluminium shed 0.1%. The SHFE complex also saw mixed performance overnight and aluminium increased about 0.7%.
Three-month LME aluminium rebounded to an intraday high of US$1,773.5 per tonne on Monday, before it erased those gains to close 0.11% weaker at US$1,760.5 per tonne. The buildup of short positions primarily accounted for the losses. LME aluminium is expected to remain rangebound between US$1,740-1,800 per tonne today.
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As on December 9, Monday, LME aluminium cash (bid) price stood at US$ 1765.50 per tonne, LME official settlement price stands at US$ 1766 per tonne; 3-months bid price stands at US$ 1761 per tonne, 3-months offer price is US$ 1762 per tonne; Dec 20 bid price stands at US$ 1820 per tonne, and Dec 20 offer price stands at US$ 1825 per tonne.
The LME aluminium opening stock increased again to 1288150 tonnes. Live Warrants totalled at 1142525 tonnes, and Cancelled Warrants were 145625 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1764 per tonne.
SHFE Aluminium Price Trend
Benchmark aluminium price for SHFE (Shanghai Future Exchange) increased to US$ 1998 per tonne on Tuesday, December 10, 2019.
The most traded SHFE 2002 contract advanced 0.25% to RMB 13,880 per tonne overnight, as longs added their positions. Bullish investors were moving to later-dated contracts. SHFE aluminium is expected to waver between RMB 13,810-14,000 per tonne today. Spot premiums are seen at RMB 30-50 per tonne over the SHFE 1912 contract.
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