Shanghai Metals Market
Shanghai Metals Market Morning Review - 2012/1/16 Aluminum Market
Edited by : AL CIRCLE
1 min read
LME aluminum for three-month delivery dropped to an intraday low of USD 2,116/mt last Friday after Standard & Poor’s downgraded 9 euro zone countries. Better than expected Michigan University Index and leading indicators from the US came later and helped the metal narrowing loss to USD 19.3/mt or 0.89% closing at USD 2,141.3/mt.
As the euro zone debt crisis worsens, SMM expects LME aluminum to give away more gains in last week to test support at the 30-day moving average. The moving band should be USD 2,100-2,150/mt. The most active SHFE aluminum contract for delivery in April is expected to open near RMB 16,150/mt and move between RMB 16,100-16,200/mt. Spot discounts over the SHFE current-month aluminum price are expected to widen to RMB 30-80/mt after the latter shifted to a later month. Light stock replenishment demand at lower prices is expected at large downstream businesses.
As the euro zone debt crisis worsens, SMM expects LME aluminum to give away more gains in last week to test support at the 30-day moving average. The moving band should be USD 2,100-2,150/mt. The most active SHFE aluminum contract for delivery in April is expected to open near RMB 16,150/mt and move between RMB 16,100-16,200/mt. Spot discounts over the SHFE current-month aluminum price are expected to widen to RMB 30-80/mt after the latter shifted to a later month. Light stock replenishment demand at lower prices is expected at large downstream businesses.
Previous article
Caustic soda demand to fall on more aluminium cuts – US Alcoa
Next articleLME aluminium to drop to $2,132/T
Grow with
AL Circle
_md.webp)
