LIVE FUTURES REPORT 23/01: LME aluminium price climbs amid 94kt fresh cancelation; zinc appreciates 1.5%

Aluminium’s three-month price was higher during morning trading on Wednesday January 23, climbing above $1,900 per tonne after more than 131,000 tonnes was freshly canceled over the past two days.

According to LME data, total canceled aluminium stock is now at just over 30% of total LME inventory, which is now in the region of 1,301,000 tonnes. On Monday, total canceled stock was just above 20%.  One dominant position has emerged in aluminium warrant holdings this week at 40-49% of LME stocks, while there is also one position at 30-39% of tom/next positions and unreported warrants at more than 17%.  “We had a lot of on-warrant deliveries in December against tightening spreads then. I think that was a play to get the price down ahead of Christmas. What we’re seeing now is cancelations, maybe some physical demand has picked up. Greater physical...


Hassan Butt

January 23, 2019

10:49 GMT