SMM Morning Review - 2010/9/17 Aluminum Market

SHANGHAI, Sept. 17 (SMM) -- The US Department of Labor announced that the initial jobless claims fell unexpectedly to 450,000 last week, lower than the forecast of 460,000. The US's producer price index (PPI) in August rose by 0.4% on a monthly basis, posting the largest gain within three months. Manufacturing sector and labor market showed signs of improving, helping boost market sentiment. In the mean time, the US dollar index weakened to 81.074, and LME base metals prices closed with gains in response.         

LME aluminum prices opened at USD 2,160/mt, with the highest level and lowest level at USD 2,180/mt and USD 2,144/mt, respectively, and finally prices closed at USD 2,159/mt, up USD 5/mt compared with the previous trading day, or up 0.2%. Total trading volumes were 94,721 lots, and total positions fell by 1,956 lots to 630,927 lots. LME aluminum inventories fell again by 4,750 mt to 4,397,400 mt after two-day slight increases. 

SHFE aluminum prices opened higher today, but whether or not SHFE aluminum prices can rise further will depend on the Shanghai Stock Exchange Composite Index trends today. SMM predicts SHFE 1012 aluminum contract prices will fluctuate between RMB 15,550-15,750/mt today.             

Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn