Aluminium prices closed over 2% higher than Wednesday’s close price supported by stronger-than-expected Chinese data and the dollar weakening once more.
“Judging by its current technical configuration, LME aluminium continues to consolidate from recent gains and its overall trend is still bullish,” Andy Farida, Metal Bulletin analyst said.
“Given the positive macro-backdrop and on-going supply-demand improvement through Chinese winter cuts, the light metal is well positioned to remain high,” he added.
In spreads, the aluminium cash/three-month backwardation is narrowing – now at $2.50 per tonne from over $5.00 earlier today.
Lead was another strong performer on a day where metals looked to...