Three-month LME aluminium recovered from earlier losses on Monday to close at US$1,751/t; SHFE starts trading today

The US dollar inched higher against a basket of currencies on Monday, stemming the decline from a more than two-year high hit last week, as investors took a cautious approach ahead of the US Federal Reserve Meeting Minutes and trade talks between Washington and Beijing this week. LME base metals were mixed on Monday's close. Aluminium rose 1.5%.

Three-month LME aluminium recovered from earlier losses to end at a more than one-week high of US$1,751 per tonne on Monday. It gained 1.45% on the day, recovering losses from last week when it touched the lowest since January 2017. Data showed that LME aluminium inventories declined 2,300 tonnes on Monday to 964,225 tonnes, after consecutive days of gains. High inventories and a lack of developments on fundamentals will keep LME aluminium under US$1,800 per tonne. The contract is expected to hover between US$1,720-1,760 per tonne today.

As on October 7, Monday, LME aluminium cash (bid) price stood at US$ 1712 per tonne, LME official settlement price stands at US$ 1713 per tonne; 3-months bid price stands at US$ 1718 per tonne, 3-months offer price is US$ 1720 per tonne; Dec 20 bid price stands at US$ 1800 per tonne, and Dec 20 offer price stands at US$ 1805 per tonne.

The LME aluminium opening stock increased to 964225 tonnes. Live Warrants totalled at 783400 tonnes, and Cancelled Warrants were 180825 tonnes.

LME aluminium 3-months Asian Reference Price is hovering at US$ 1729 per tonne.

SHFE Aluminium Price Trend

Shanghai Futures Exchange (SHFE) has started trading from today after the week long National Day holiday.