India Aluminium Scrap prices remain stable; Norsk Hydro forecasts weaken Aluminium Futures

INDIA February 24 2016 10:25 AM    

MUMBAI (Scrap Register): India  major aluminium scrap commodities prices remained stable on Tuesday, while  aluminium futures prices at Multi Commodity Exchange weakened after Norsk Hydro  cuts aluminium demand growth forecasts.

The major aluminium scrap  commodities stayed stable on Scrap Register Price Index as on Tuesday. India's  major scrap commodities like aluminium accessories scrap, aluminium cable scrap,  aluminium ingots, aluminium rod company, aluminium rod local, aluminium scrap  6063, aluminium scrap taint/tabor, aluminium sheet cutting, aluminium utensil  scrap, aluminium wire scrap showed a flat trend during the day.

The most active February aluminium contract  on Multi Commodity Exchange settled lower by 1.8 % to Rs. 107 per kilogram on  Tuesday from previous close of Rs. 108.90 per kilogram. The MXC aluminium prices  touched an intra-day high of Rs. 109.50 per kilogram and an intra-day low of Rs.  106.60 per kilogram during Tuesday.

Norsk Hydro, one of the world's  largest aluminium producers, cut its 2016 forecast for global demand growth to  3-4 percent from 4-5 percent, told last week. While a massive overhang of  aluminium stocks, mostly due to rising Chinese production, is set to cap a  tentative price recovery triggered by large output cuts.

Last year  plummeting prices and squeezed margins led to production cuts of around 5.5  million tons with the bulk, about 4 million tons, in China.