This week the already clear-as-mud aluminum market got a little murkier when the International Aluminum Institute said it would stop reporting stock numbers.
The IAI said what it receives is simply too incomplete to give any real indication of how much aluminum is out there in on-warrant storage. Editor-At-Large Stuart Burns agrees and explains what that lack of information has done to physical delivery premiums.
Korean 3003 coil premium over 1050 sheet finished as the week’s biggest mover on the weekly Aluminum MMI® after dropping 5.3% and landing at KRW 4,110 ($3.77) per kilogram. Korean 5052 coil premium over 1050 sheet finished the week at KRW 4,260 ($3.91) per kilogram after falling 5.1%. A 4.7% jump caught the week’s heaviest change for European 1050 aluminum. European 5083 plate rose 1.9% over the past week to EUR 2,897 ($3,279) per metric ton.
Chinese aluminum prices were mixed for the week. The cash price of Chinese aluminum rose 2.7% to CNY 13,010 ($2,083) per metric ton after falling 0.5% during the previous week. The price of Chinese aluminum bar rose 2.7% to CNY 13,020 ($2,084) per metric ton after falling 0.5% during the previous week. The price of Chinese aluminum scrap rose 2.5% to CNY 12,500 ($2,001) per metric ton after falling 0.8% during the previous week.
The cash price of primary Indian aluminum rose 3.1% to INR 116.40 ($1.88) per kilogram after falling 2.1% during the previous week. The aluminum 3-month price rose 0.9% on the LME over the past week to $1,875 per metric ton. The primary aluminum cash price rose 0.7% on the LME over the past week to $1,862 per metric ton. This was the third week in a row of increasing prices.
The Aluminum MMI® collects and weights 12 global aluminum price points to provide a unique view into aluminum price trends. For more information on the Aluminum MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.