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...

Published

Hassan Butt

January 23, 2019

10:49 GMT

London