Primary aluminium inventories stand at 870,000t after three consecutive W-o-W falls

According to Shanghai Metals Market, the social inventories of primary aluminium, on Thursday, October 31, declined for the third consecutive week, as arrivals remained limited and consumption stayed robust.

SMM data showed the primary aluminium stocks across eight major Chinese consumption areas, include SHFE warrants, plunged by 12,000 tonnes from a week ago to stand at 870,000 tonnes.  On last Thursday, October 24, the primary aluminium inventories had decreased by 34,000 tonnes week-on-week to come in at 882,000 tonnes, followed by the decline of 61,000 tonnes to 916,000 tonnes on October 17.

This indicates that although the primary aluminium inventories declined over the past three consecutive weeks, but recorded a slower pace each week.

The chart below indicates the current status of primary aluminium inventories across China in more details:

So, as we can see in the above chart, the primary aluminium inventories dropped only in Wuxi, Jiangxu; Gongyi, Henan; and Shanghai, by about 9,000 tonnes, 5,000 tonnes, and 3,000 tonnes to stand at 231,000 tonnes, 150,000 tonnes, and 61,000 tonnes, respectively. In all other markets, the price has either increased or remained restrained.

The A00 aluminium ingot price, however, had recorded a decline yesterday despite the fall in stocks, but rose today, on November 1, by RMB 30 per tonne to return to RMB 14,000 tonnes.