MillerCoors LLC Blasts LME Rules on Aluminum as Prices Drop

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MillerCoors and other aluminum sheet buyers, primarily can makers, sent the London Metal Exchange a nastygram.

Well, not so much nasty, but MillerCoors and others are not satisfied with the new aluminum warehousing rules. “In a letter dated Sept. 9, the so-called ‘aluminum users group’ called on the LME to implement even bigger changes, which they say will end long wait times, increase transparency for physical pricing and restore user confidence in the exchange. Without that, there will be ‘more dysfunction, more manipulation and more harm,’ the letter from the group said. It also asked for a meeting with the LME,” Reuters reported.

The day’s biggest mover on aluminum markets was the cash price of primary Indian aluminum, which dropped by 3.0 percent on Tuesday, September 10. The cash price of primary aluminum closed at $1,767 per metric ton.

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Following a couple days of improvement, prices fell by 0.8 percent on the LME. The aluminum 3-month price changed direction with a 0.7 percent drop. After two days of improving prices, the metal finished at $1,816 per metric ton on the LME.

Chinese aluminum closed mixed on Tuesday. Chinese aluminum billet saw its price rise 0.4 percent. The cash price of Chinese aluminum showed little movement yesterday. The price of Chinese aluminum scrap was essentially unchanged. The price of Chinese aluminum bar remained essentially flat.

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