The US September consumer confidence index plunged 6.7 points to 81.9, the lowest since 2014 and deteriorating across the board. The University of Michigan survey showed consumers' assessments of their current financial situation and that one year ahead both fell about 10 per cent, with high-price concerns continuing to brew. Inflation pressure showed no signs of easing. US Fed Governor Cook said AI demand growth, rising oil prices, and supply chain disruptions from Middle East conflicts would keep inflation under pressure, but gave no clear guidance on rate hikes. CME data showed the market-implied probability of a 25 bp rate hike in October had risen to 70.9 per cent, and the probability of a cumulative 50 bp hike by December reached 58.7 per cent. Tightening expectations strengthened...
The proposed Srikakulam aluminium smelter project in Andhra Pradesh is gaining momentum, with around 6,800 acres of saline land earmarked at Mulapeta and Pundi for the large-scale industrial development. The proposal could also bridge Odisha’s alumina industry with Andhra Pradesh’s coastal port infrastructure, forming a potential industrial link between the two states. Union Minister for Civil Aviation Kinjarapu Ram Mohan Naidu discussed the proposed smelter with Union Minister for Mines G Kishan Reddy in Delhi, highlighting the availability of around 6,800 acres of saline land in Srikakulam district. Out of this, 5,000 acres are located in Mulapeta and 1,800 acres in Pundi. Explore the production, demand and consumption forecasts of bauxite and alumina in our report: “ Global Bauxite &...
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In line with the mission to become one of the most efficient smelters in the world, Qatalum's new contractual arrangements for the supply of petroleum coke allow for a net savings in freight rates and time for the foreseeable future. Qatalum signing the contract with Petroleum Coke Industries Company (PCIC) Kuwait on June 17, 2014. In the project phase of Qatalum, three, 5 year contracts had been signed with Rain CII US, Oxbow US and PCIC in Kuwait for the supply of petroleum coke. At Qatalum, petroleum coke is used in the manufacture of anodes by Carbon. The contracts were signed in 2009 for a total volume of approximately 250,000 tonnes per annum, and shipments began in 2010. Additionally, the volumes supplied exceeded the consumption needs of the carbon plant therefore causing an...
Data from Shanghai Futures exchange released last week has shown a decline in the Aluminium inventories. The data release showed that Aluminium inventories were down to 390483 tonnes during the week ending 11 July 2014 from 392536 tonnes, on 4 July 2014. On-warrants showed gains to 214282 tonnes, from 213404 tonnes, which indicates metal to be staying in the warehouses. China's primary aluminium production grew 7.9 per cent from the year before in the first five months of 2014 to 9.59 million tonnes, lower than an 8.2 per cent rise in the same period last year, official data showed. The total reported production in China was 1.898 million tonnes in May 2014, indicating a 43.83% share in the world primary production. Production of China in May 2013 was 1.76 million tonnes. This marked a...
ALCOA’S second quarter earnings issued overnight surprised on the upside and contained a glimmer of optimism for the long-beleaguered upstream segments of the aluminium industry. The turnaround in the performance of Alcoa’s primary metals business, which produced a $US97 million profit in the second quarter compared with a $US32m loss a year earlier, has been driven by Alcoa’s own productivity measures but also an improvement in prices and in the industry’s supply-demand balance. Alcoa’s cost-cutting, smelter closures and capacity reductions — which will include the closure of its Point Henry smelter near Geelong next month — have been echoed across the industry outside of China. Since the financial crisis, Alcoa’s smelter closures have taken more than a million tonnes of metal out of...
Aluminium futures edged higher by 0.30 per cent to INR 115.25 per kg today as speculators enlarged positions amid pick-up in demand at spot markets. At the Multi Commodity Exchange, aluminium for delivery in July rose 35 paise, or 0.30 per cent, to INR 115.25 per kg, with a business turnover of 259 lots. The metal for delivery in August also gained 30 paise, or 0.26 per cent, to trade at INR 116.35 per kg in a turnover of six lots.
Century Aluminum Company will report second quarter 2014 earnings on Wednesday, July 30th after the close of market trading. The news release will be issued through Marketwired. The company will hold a follow-up conference call on Wednesday, July 30th at 5:00 p.m. Eastern time. The earnings call will be webcast live on the Century Aluminum Company website, located at www.centuryaluminum.com. Plan to begin the registration process at least 10 minutes before the live call is scheduled to begin. A replay of the webcast will be archived and available for replay approximately two hours following the live call.
During a hearing at the High Court of Justice of England and Wales, the majority of Rusal creditors voted for a scheme to refinance the aluminum giant’s $5.15 billion loans, the company said in a statement. A total of 94% of Rusal’s creditors voted for the scheme at the court, which was authorized to convene a creditors’ meeting, Rusal said. Another bank authorized to do this, the Royal Court of Jersey, will hold a hearing on July 15. The refinancing scheme will be considered approved at both courts if 75% of the creditors vote for it. Rusal said it was negotiating the approval of the scheme with the remaining creditors. To date, only the Royal Bank of Scotland has not approved the refinancing deal. Germany’s Portigon approved it after Rusal said it would seek court approval for mandatory...
Aluminium Bahrain (Alba)’s participation in Aluminium China 2014 provides an ideal platform to promote the company globally, and expand its customer base across Asia as well as position Bahrain as an attractive economic destination for international investors. Aluminium China –one of the most awaited events for knowledge exchange and networking opportunities in the aluminium industry– as well as a widely considered to be one of Asia’s leading trade fairs for the aluminium industry, was held from July 09 to 11, 2014 at the Shanghai New International Expo Centre, Shanghai, China. The event attracted over 450 international exhibitors and key decision makers from 30 countries encompassing the entire spectrum of the aluminium value chain and witnessed more than 63,000 visitors on the opening...
One of today's notable stocks on the rise is Century Aluminum, up 1.9% to $16.82. The S&P is currently trading 0.3% higher to 1,970 and the Dow Jones Industrial Average is trading 0.2% higher to 16,944. Based on a current price of $16.82, Century Aluminum is currently 7.1% above its average consensus analyst price target of $15.62. The stock should discover initial support at its 50-day moving average (MA) of $14.64 and subsequent support at its 200-day MA of $11.56. In the past 52 weeks, shares of Century Aluminum have traded between a low of $7.65 and a high of $16.94 and are now at $16.82, which is 120% above that low price. Over the last five market days, the 200-day moving average (MA) has gone up 0.7% while the 50-day MA has advanced 0.7%.
Alcoa Inc. (AA), the struggling U.S. aluminum producer that’s shifting its focus to manufacturing auto and aerospace components, reported better-than-expected profit on the strength of its traditional aluminum smelting business. Second-quarter profit excluding restructuring costs and other one-time items was 18 cents a share, the New York-based company said yesterday, beating the 12-cent average of 17 estimates compiled by Bloomberg. Sales were little changed from a year earlier at $5.84 billion, compared with the $5.65 billion average estimate. Alcoa rose as much as 4.4 percent. The primary metals unit, which smelts aluminum, had $97 million in after-tax operating earnings compared to a $32 million loss a year before that boosted Alcoa’s bottom line, even after the segment’s output...
Aluminum premiums paid on top of prices on the London Metal Exchange are seen slumping 28 percent by year-end in the U.S. as wait times shorten for warehouse supplies, according to Lawrence Capital Management. The charge in the Midwest added to supplies for immediate delivery is forecast to drop to 14 cents a pound by year-end, from 19.575 cents as of July 8, said Tim Hayes, a Richmond, Virginia-based principal at Lawrence Capital. Premiums jumped to a record 20.875 cents in January, Metal Bulletin data show. Consumers including MillerCoors LLC have complained that the surcharges have risen as LME rules allowed warehouses to slow deliveries and as more metal got tied up in finance deals, which typically involve buying a commodity for nearby delivery and a forward sale to take advantage of...
The 18th International Conference On Non-Ferrous Minerals and Metals’14, organized by Corporate Monitor and JNARDD and supported by Ministry of mines, Govt. of India & IBAAS in association with VNIT and AlCircle.com took place in Radisson Blu Hotel, Nagpur on 11th and 12th july’14. The two day conference on Non-ferrous minerals & metals covered topics on mineral exploration, extraction, beneficiation and processing. It covered the global and national scenario of aluminium, copper, zinc & lead and other precious, strategic and rare metals, process improvement, consumable, environment issues, energy, alloy and application development. Waste management, one of the significant issues for the metal industry was extensively covered by conference papers during the two days. The 1st day...
The 18th International Conference On Non-Ferrous Minerals and Metals’14, organized by Corporate Monitor and JNARDD and supported by Ministry of mines, Govt. of India & IBAAS in association with VNIT and AlCircle.com as the Media and Event partner is commencing from today 11th july’14 to 12th July’14, at Radisson Blu Hotel, Nagpur. The two day conference on Non-Ferrous industry will cover topics on mineral exploration, extraction, beneficiation and processing - Non-ferrous minerals & metals, Global and national scenario: aluminium, copper, zinc & lead and other precious, strategic and rare metals, process improvement, consumable, environment issues, energy, alloy and application development. The conference would be graced by eminent personalities like Shri Ansuman Das, CMD, NALCO, Shri K D...
A bullish target at $1,986 per tonne has been established for LME aluminium, as it has broken above a resistance at $1,931. The resistance was provided by the 76.4 percent Fibonacci projection level of an upward wave C that developed from the May 21 low of $1,754.75. There might not be any other resistance until aluminium reaches $1,986, the 100 percent projection level. A drop to $1,916 will signal a false break above the resistance, and the target at $1,986 will be aborted. A further drop below the July 7 low of $1,910.75 could indicate a reversal of the uptrend and the previous bearish target at $1,898, the 61.8 percent level, will be re-established. The views expressed are his own. No information in this analysis should be considered as being business, financial or legal advice. Each...
Where government controls and environmental pressures have failed, good old market economics may finally be picking up sway. Of course, it isn’t quite that simple. Some of the credit must go to federal pressure on state governments to reign in subsidies and support, but it would seem if a Reuters article is correct that the closure of some 2 million tons of capacity this year, coupled with still-rising demand, is finally closing the excess capacity gap. An analyst quoted by Reuters forecasts a surplus of less than 500,000 metric tons, said to be half the 1 million tons touted by analysts and smelters earlier in 2014. Smelters closed about 2 million tons of high-cost capacity between late 2013 and May 2014 as prices dropped to five-year lows. Although, worryingly, around 200,000-500,000...
The expected Chinese aluminum surplus in 2014 is likely to get reduced, according to most recent analysis. The robust demand from transport sector and the closure of more facilities may reduce the aluminum surplus from earlier projected 1 million tonnes to less than 500,000 tonnes. According to sources, almost 2 million tonnes of high-cost smelter facilities were idled in the country between end-2013 and May this year. This followed the sharp fall in aluminum prices . The prices had touched a 5-year low during March this year. However, almost 500,000 tonnes of idled smelters returned to operation following the recovery in prices. The aluminum prices have already recovered nearly 15% from the March lows. The country’s primary aluminum output grew 7.9% during the first five months of the...
Average operating rate of Chinese A356 aluminum alloy producers rose to 67.50% in June, Shanghai Metals Market survey showed. The 1.25% month-on-month uptick in operating rate allowed output at the surveyed producers to grow 2,000 tonnes on the month to 108,000 tonnes in June, SMM survey showed. Besides, processing fees for A356 aluminum alloy in China also gained 50 to 700 yuan ($ 113) per tonne, spurred by growing demand at home and abroad. Aluminum alloy producers are unlikely to cut output in July, SMM foresees, though aluminum wheel rim production will slow in July and August due to high temperatures and slack demand in summer months. This will exert downward pressure on processing fees for A356 aluminum alloy.
Aluminium producer Alcoa last night reported a jump in earnings on strong metals pricing and lower costs as it confirmed its outlook for 7% aluminium demand growth in 2014. Alcoa, the first major US company to report second-quarter earnings, said net income for the period ending June 30 was $138m, up from a loss of $119m the same time last year. Revenues were $5.84 billion, down slightly from $5.85 billion. Total costs fell from $5.98 billion a year ago to $5.63 billion. "Our second quarter results prove Alcoa's transformation is in high gear," said Alcoa's chief executive Klaus Kleinfeld. Kleinfeld pointed to moves to close low-return smelters and steer investment to "value-added" segments, such as light-weight aluminium for car and aviation makers concerned about fuel efficiency. The...
Aluminium settled down -0.22% at 114.15 slipped on Friday but still posted their biggest weekly rise in more than nine months, having earlier hit a four-month peak as U.S. jobs data boosted the demand outlook for industrial metals. Earlier this week prices gained as global aluminium producers have done well to curtail output and also successfully ward off the challenge posed by the proposed rule change for LME-linked warehouses. In the June quarter, aluminium prices on an average have risen 5.3% over the preceding quarter. Report says the regional premium payable for metal deliveries to Japan for the July-September quarter has risen by 8-12% over the preceding quarter. All this should mean extra dollars for every tonne of metal produced by aluminium firms. Regional premiums are payable by...
