[Al] SMM Morning Review - 2009/7/29 Aluminum Market

SHANGHAI, July 29 (SMM) -- The Conference Board announced on Tuesday that the US consumer confidence index during July fell to 46.6, while market players estimated it would be 49.0, and consumer confidence index during June was 49.3. The weak consumer confidence index triggered the market concerns with regard to the stability of US economic recovery and boosted the risk aversion demand for US dollar, and the exchange rate of US dollar against major currencies increased. The British oil companies said the demand for energy lacked a sign of growth, re-generating market concerns over with energy demand, so crude oil prices dipped.

    LME base metal prices fell generally due to stronger US dollar, while LME aluminum outperformed other base metals, and closed at USD 1,824.5/mt, up USD 4/mt, and the inventories declined by 4,225mt to 4,550,250mt. Profit-takings will increase after the constant rise in aluminum price, so SHFE aluminum prices will experience slight adjustments in the short term, and any downward room for the price will be limited.

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