[Al] CBI Morning Review - 2009/4/23 Aluminum Market

SHANGHAI, Apr. 23 (CBI China) -- The United States Federal Housing Finance Agency announced on April 22nd that the U.S. housing price index rose by 0.7% on a monthly basis in February, which is unexpected by many economists. In addition, the housing price has been revised to up 1.0% from previous up 1.7% on a monthly basis in January.

    The unexpected rise in the U.S. housing price and soft U.S. dollar propelled LME base metals prices to rise slightly, LME aluminum closed at USD 1,467/mt, up USD 7/mt, and the inventories increased by 9,525mt to 3,659,525mt. World Bureau of Metal Statistics (WBMS) announced on Wednesday that the supply surplus in global aluminum market in the first two months was 425.7kt, and the current downstream demand remained weak, which remained a major factor to suppress the rebound of aluminum price.

    Yesterday, rumor reports that IPO will be resumed in May in the stock market, exerting negative impact on commodity markets, so SHFE copper and SHFE zinc prices plunged, but SHFE aluminum performed strong and will be expected to move narrowly in the short term.

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