
The US dollar fell to a one-week low against a basket its rivals on Wednesday, as the US and China signed a deal that will roll back some tariffs.
LME aluminium price closed higher at US$1,778.5 per tonne on Wednesday, from US$1,767.5 per tonne. Three-month LME aluminium ended at US$1,800 per tonne on Wednesday, 0.44% weaker. The contract is expected to trade between US$1,790-1,820 per tonne today.
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As on Wednesday January 15, LME aluminium cash (bid) price stands at US$ 1778 per tonne, LME official settlement price stands at US$ 1778.5 per tonne; 3-months bid price stands at US$ 1805 per tonne, 3-months offer price is US$ 1805.5 per tonne; Dec 20 bid price stands at US$ 1940 per tonne, and Dec 20 offer price stands at US$ 1945 per tonne.
The LME aluminium opening stock dropped to 1367875 tonnes. Live Warrants totalled at 709475 tonnes, and Cancelled Warrants were 658400 tonnes.
LME aluminium 3-months Asian Reference Price is hovering at US$ 1799.50per tonne.
SHFE Aluminium Price Trend
Benchmark aluminium price for SHFE (Shanghai Future Exchange) decreased to US$2051 per tonne on Thursday, 16 January 2020.
The most-traded SHFE 2003 contract regained losses from the previous two days as loaded-up long positions pull it up above the 20-day moving average to a high of RMB13,990 per tonne, before it finished higher on the day at RMB13,970 per tonne, according to an SMM. The SHFE 2001 contract closed at RMB14,700 per tonne, 1.59% higher, with a settlement price of RMB14,630 per tonne. Elevated stocks are expected to keep aluminium prices weak before Chinese New Year holiday.
The most traded SHFE 2003 contract erased earlier gains to close 0.11% firmer at RMB13,965 per tonne overnight, as weakening demand weighed. The contract is likely to move at RMB13,900-14,050 per tonne today, with spot discounts at RMB60-140 per tonne.
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