LORD COPPER: What ails the aluminium market?

The disruption to the aluminium market is being debated in front of a US Senate committee. But will it get to the truth of what has been going on in the aluminium market and why?

The disruption to the aluminium market is being debated in front of a US Senate committee. But will it get to the truth of what has been going on in the aluminium market and why? What’s the real price of a commodity? That question, which at first appears to be a pretty simple one, is in many ways at the heart of the argument – now being debated in front of a US Senate committee – about what has been going on in the aluminium market. The simple answer – obviously, in a market economy – is the one at which producers and consumers are able to conclude deals to supply the commodity in question. As far as metals (London Metal Exchange metals, that is) are concerned, that price has been pretty much accepted to be the official LME price, adjusted to take in to account specific quality (within the LME’s...

Published

Lord Copper

November 25, 2014

14:35 GMT

London