United Company Rusal PLC, the world’s biggest aluminum producer, plans by next month to begin offering customers the option of using CME Group ‘s new aluminum futures contract to set prices, a company executive told the Wall Street Journal.
Rusal’s use of CME futures would give a boost to the fledgling contract, which has been gaining traction since its launch in May. Aluminum, which is used in everything from window frames and beer cans to automotive engine blocks and air-conditioners, is primarily traded on the London Metal Exchange.
The cash price of primary Indian aluminum fell 1.3 percent on Wednesday, June 11 to INR 112.50 ($1.90) per kilogram, making it the day’s biggest mover. The cash price of primary aluminum weakened by 0.3 percent on the LME, settling at $1,865 per metric ton. The 3-month price of aluminum saw a 0.2 percent decline on the LME to $1,893 per metric ton.
Chinese aluminum closed mixed yesterday. The cash price of Chinese aluminum gained 0.4 percent to finish at CNY 13,370 ($2,147) per metric ton. The price of Chinese aluminum scrap saw essentially no change for the fifth day in a row, remaining around CNY 12,250 ($1,967) per metric ton. The price of Chinese aluminum billet continues hovering around CNY 13,590 ($2,182) per metric ton for the fifth day in a row. The price of Chinese aluminum bar saw little movement at CNY 14,200 ($2,280) per metric ton.