
Primary aluminium stocks across eight major consumption areas in China, including SHFE warrants, have dropped further on higher demand and limited cargoes arrival, learned Shanghai Metals Market. The premium of spot prices over prices of futures triggered a larger outflow of warrants, which also reduced inventories.
According to SMM data, the inventories have plunged by some 63,000 tonnes from May 9 to stand at 1.346 million tonnes, as of Thursday, May 16.
{alcircleadd}In contrast to 506,000 tonnes in Wuxi and Jiangsu on May 9, the inventories today are standing at 483,000 tonnes, down 23,000 tonnes. In Shanghai, the inventories dipped 7,000 tonnes to clock at 270,000 tonnes and in Nanhai and Guangdong by 24,000 tonnes to 286,000 tonnes. In Gongyi and Henan, and Linyi and Shandong, the inventories today are standing at 95,000 tonnes and 13,000 tonnes after inching down from 99,000 tonnes and 18,000 tonnes on May 9.
The chart below indicates the current status of primary aluminium inventories across all major cities in China.

In this background, the A00 aluminium ingot price has risen today, on May 16, by RMB 20 per tonne to stand at RMB 14,360 per tonne.
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