[Al] CBI Morning Review - 2009/5/4 Aluminum Market

SHANGHAI, May 4 (CBI China) -- The US announced last Friday that the ISM Purchasing Managers Index in April rose to 40.1, better than analysts predictions, hitting a record high since September last year, with the March’s level of 36.3. Although the index was lower than 50, its declines slowed down. Reuters / University of Michigan announced the final consumer confidence index in April was 65.1, with the estimated value of 61.9, an indication of the recovery of consumer confidence. The surprising strong US economic data boosted the market sentiment, and LME base metal prices rebounded sharply last Friday due to the stimulus of positive economic data. LME aluminum price rose to USD 1,535/mt, up USD 30/mt, and the inventories increased by 6,075mt to 3,792,300mt. China Federation of Logistics and Purchasing announced on Friday that the leading indicator of macroeconomic, official manufacturing Purchasing Managers Index (PMI), was 53.5, which has risen for five consecutive months, an indication of the further recovery of China's economy. SHFE market was closed on May 1st and today SHFE aluminum opened at high due to sharp rebound of LME aluminum price, while the ample supply in spot market dampened the upward momentum for aluminum price.

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