SHANGHAI, Nov 18 (SMM) - The stocks of aluminium billet in five major consumption areas dropped 11,700 mt to 100,500 mt on November 18 from a week ago, a decrease of 10.43%. And the inventory has been falling for five straight weeks.
The declines still mainly come from Foshan (down 6,500 mt or 14.44%) and Wuxi (down 3,100 mt or 13.54%). Nanchang and Changzhou also saw some drops in their inventories. The main reasons include the still-low arrivals of aluminium billet and warming transaction market amid falling aluminium prices that week that revived the downstream market.
Looking forward, the orders and production activities of extrusions of all sizes across China have been moderate, according to SMM. And the warehouses reported that the arrivals of aluminium billet will not see increases next week. As such, the inventory may keep dropping in the following week.