LME aluminium price increased by $9.5/t after three consecutive days of decline, SHFE hiked to $2135/t

The US dollar consolidated gains on Friday but was set for its biggest weekly rise in 2-1/2 months as an overnight drop in high-flying US technology stocks fuelled a bout of risk aversion in global markets.

Three-month LME aluminium plunged to an intraday low of US$ 1,773.50 per tonne before wiping out all earlier losses to end 0.9 per cent firmer at US$ 1,792 per tonne on Friday. It is likely to trade between US$1,760-1,820 per tonne today.  

As of Friday, September 4, both LME aluminium cash (bid) price and LME official settlement price increased to US$ 1753 per tonne, following incessant declines from US$ 1781.50 per tonne to US$ 1743.50 per tonne in the three previous days. 3-months bid price and 3-months offer price hovered at US$ 1789 per tonne compared to US$ 1779 per tonne on September 3. Dec 21 bid price and Dec 21 offer price came in at US$ 1855 per tonne.

The LME aluminium opening stock declined further on September 4 to 1537675 tonnes. Live Warrants stood at 1318600 tonnes, while Cancelled Warrants at 219075 tonnes.

LME aluminium 3-months Asian Reference Price hovered at US$ 1781.44 per tonne.

SHFE Aluminium Price Trend

Benchmark aluminium price for SHFE increased to stand at US$ 2135 per tonne on Monday, September 7, following three consecutive days of decline.

The most-liquid SHFE 2010 aluminium contract closed down 0.8 per cent at RMB 14,270 per tonne today. Open interest fell 867 lots to 124,344 lots.

The most-liquid SHFE 2010 aluminium contract settled 0.39 per cent higher at RMB 14,340 per tonne on Friday night. Aluminium social inventories built up slowly amid moderate downstream demand. The contract is likely to trade between RMB 14,350-14,650 per tonne today, while spot premiums are seen lower at RMB 0-20 per tonne.

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