LME benchmark aluminium price floats US$10.5/t up to US$2107/t, down 11.6% Y-o-Y; SHFE aluminium price earns US$17/t

On July 3, Monday, the LME aluminium cash bid price halted at US$2,105 per tonne and the LME aluminium official settlement price anchored at US$2,107 per tonne, witnessing a surge of US$9 per tonne and US$10.50 per tonne, respectively. The LME cash bid price spiked by 0.43 per cent, and the LME official price rose by 0.5 per cent. 

One year back, on July 1, the LME aluminium spot price was US$2,384 per tonne, which has slumped US$277 per tonne or 11.6 per cent Year-on-Year to settle at what it is today. 

Uncertainty persists in the debt ceiling negotiations and the potential increase of US Fed interest rates. Consumption recovery is weaker than expected, and there is an accumulation of aluminium ingot inventories. Declining prices weaken aluminium price support, and SHFE aluminium may drop below RMB 18,000 per tonne in the short term.

The 3-month bid price leapt US$5 per tonne or 0.23 per cent upward to rest at US$2,146 per tonne, and the 3-month offer price jumped US$5.50 per tonne or 0.26 per cent, officially stopping at US$2,147 per tonne.

December 24 bid price and December 24 offer price both increased by US$10 per tonne or 0.43 per cent each to clock at US$2,312 per tonne and US$2,317 per tonne, respectively. 

LME aluminium opening stock dived by 0.2 per cent or 1,100 tonnes, officially closing at 542,050 tonnes from 543,150 tonnes recorded the previous week on Friday.  

Live warrants read 271,475 tonnes, with no measurable change at all. Cancelled warrants stood at 270,575 tonnes, with 1,100 tonnes or a 0.4 per cent plunge.  

The 3-month Asian Reference Price closed at US$2,165.59 per tonne, rising by US$3.51 per tonne or 0.16 per cent.

SHFE aluminium price

Today, on July 4, the SHFE aluminium spot price rests at RMB 2,541 per tonne, with a mild escalation of US$17 per tonne or 0.67 per cent. On July 4, 2022, the SHFE aluminium price index flashed US$2,862 per tonne, which has plummeted by US$321 per tonne or 11.2 per cent to rest at today’s price. 

SHFE 2307 aluminium added RMB 595 per tonne or 3.38 per cent to RMB 18,185 per tonne. The open interest fell 11,785 lots to 256,640 lots.