
The US dollar extended its decline from 16-month highs against the euro and pound, which increased as traders monitored developments of Brexit and the Italian budget.
LME aluminium closed Wednesday’s trading at US$ 1931per tonne. The contract then faced pressure as it grew to a high of US$1,948 per tonne overnight. Limited upward momentum saw it close at US$1,942 per tonne, still below the five- and 10-day moving averages. It is likely to trade at US$1,920-1,960 per tonne today.
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As on November 14, Wednesday, LME aluminium cash (bid) price stood at US$ 1930 per tonne, LME official settlement price stands at US$ 1931 per tonne; 3-months bid price stands at US$ 1943.50 per tonne, 3-months offer price is US$ 1944.50 per tonne; Dec 19 bid price stands at US$ 2008 per tonne, and Dec 19 offer price stands at US$ 2013 per tonne.
The LME aluminium opening stock rose to 1057450 tonnes. Live Warrants totalled at 752225 tonnes, and Cancelled Warrants were 305225 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1941 per tonne.
SME and SHFE Aluminium Price Trend
The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 1967 per tonne today from US$ 1976 per tonne on November 14.
The SHFE 1901 contract came off from earlier rangebound levels to close near the day’s lows of RMB 13,715 per tonne yesterday. This positioned it below all moving averages with its KDJ lines diverging and expanding downwards. At night, as longs and shorts fought, the SHFE 1901 contract mostly hovered around the daily moving average with the highest level overnight at RMB 13,785 per tonne. It settled below the five-day moving average at RMB13,680 per tonne. The contract is likely to trade at RMB 13,700-13,800 per tonne today. Spot offers are seen at a discount of RMB 20 per tonne to a premium of 20 per tonne.
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