LME aluminium slides below US$2,100/t on tepid demand

LME aluminium after having risen to US$2,188 per tonne in a month has caught on a down trend. Due to subdued demand in China and a more or less plateaued consumption in rest of the world, the light metal has given up its gain and gradually heading towards US$2,046 per tonne support.  From US$2,103.50 per tonne on Wednesday, November 8, it came down to close at US$2,078 per tonne on Thursday, November 9.

There are high possibilities that LME aluminium will break below the support at US$2,046 per tonne and head for further losses in the near term.

As on November 9, LME official cash buyer aluminium price (Bid Price) stands at US$2,077.50 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,078 per tonne, 3M Bid Price is US$2,091.50 per tonne, 3M Offer Price is US$2,092 per tonne, Dec1 Bid Price is US$2,138 per tonne, and Dec1 Offer Price is US$2,143 per tonne. LME aluminium Opening Stock or the LME aluminium inventory level stands at 1171975 tonnes, total Live Warrants is 933400 tonnes, and Cancelled Warrant is 238575 tonnes.                              

SME and SHFE Aluminium Price Trend

The benchmark aluminium price on Shanghai Metal Exchange has dropped further from US$2,325 per tonne on November 9, to US$2,305 per tonne on November 10.  

In China domestic market, aluminium price is keeping weak and volatile. The latest SHFE aluminium price movement is as follows:

In the short term, the most active SHFE aluminium contract may stabilize at RMB 15,000~15,300 per tonne, Shanghai Metals Market indicated.