REVIEW OF 2015: Alumina price falls outpaced aluminium as weak sentiment took its toll

Alumina prices have fallen over 42% over the course of 2015, languishing at $205.28, after declines picked up the pace at an unexpected rate in the second half of the year.

A buyers’ market, weak sentiment, and lower refining costs combined to see the raw material post fresh lows on an almost weekly basis in the fourth quarter, market participants told Metal Bulletin. “Everyone is shocked at the rate prices are going down. We could see numbers in the $190s before the end of the year,” a consumer said. Until the end of August, alumina’s price falls were relatively well correlated with those of aluminium, as both markets were squeezed by weaker global demand and sustained oversupply. But the two prices have since diverged, as alumina prices lost psychological support...


Charlotte Radford

December 24, 2015

12:00 GMT