Looks like Alcoa Inc. as a bellwether of US industry, and especially the domestic aluminum industry, is history – at least for now.
The largest US aluminum producer, along with Hewlett-Packard and Bank of America, will be replaced in the 30-company Dow Jones Industrials Average index, the biggest such shakeup since 2004, according to the Wall Street Journal. Alcoa’s share prices have fallen 7% this year.
At least symbolically, this is a big deal – it parallels the malaise that continues to plague the US manufacturing industry, and particularly the oversupply that exists in the aluminum market and the low prices that have ensued.
The cash price of primary Indian aluminum saw the biggest decline of the day, dropping 3.5 percent on Monday, September 9.
On the LME, the aluminum 3-month price rose 1.7 percent to $1,829 per metric ton. On the LME, the cash price of primary aluminum gained 1.5 percent to finish at $1,780 per metric ton.
Chinese aluminum prices were mixed for the day. The Chinese aluminum cash price rose 0.4 percent. The price of Chinese aluminum scrap held steady. Chinese aluminum billet saw little change in its price yesterday. For the fifth consecutive day, the price of Chinese aluminum bar held flat.