Posted: June 25th, 2012 | Author: Pascal Blanc | Filed under: Aluminum, China, Commodities, Metals | Tags: aluminium, china | 1 Comment »
Addicted to Indonesian bauxite, Chinese aluminum companies need to diversify their sources of supply or develop local production. Eventually, this supply issue should lead to an increase in China aluminum imports.
China has been dependent on imported iron ore to meet the needs of its steel industry development. This caused soaring prices for iron ore and metallurgical coal in the last ten years.
A parallel can be drawn with bauxite. Over the last 5 years, ever-increasing volumes of bauxite have been imported to feed aluminum refineries in China. The aluminum companies have decided to refine bauxite themselves rather than buy aluminum because of significantly lower investment costs in China.
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Posted: February 21st, 2012 | Author: Rod Sherkin | Filed under: Commodities | Tags: aluminium, commodities, silver | No Comments »
Commodities jumped to a six-month high as euro-area finance ministers reached agreement on a second debt bailout for Greece and U.S. equities rallied, boosting prospects for raw-material demand.
The Standard & Poor’s GSCI Spot Index of 24 commodities rose 1.6 percent to 699.17 at 2:56 p.m. in New York after reaching 700.79, the highest since July 27. Metals led the gains with silver up 3.7 percent and aluminum gaining 3.5 percent. The Dow Jones Industrial Average climbed above 13,000 for the first time since 2008.
via Commodities Rally to Highest in More Than Six Months on Bailout for Greece – Bloomberg.
Posted: November 23rd, 2011 | Author: Rod Sherkin | Filed under: Aluminum | Tags: aluminium | No Comments »
Three-months aluminum fell as far as $2,054.75 a metric ton on the London Metal Exchange Monday, the lowest level in 14 months and down 27% from the May peak of $2,803 a ton.“As a result, increasing numbers of aluminum smelters are becoming unprofitable and are temporarily shutting down production.”
Aluminum prices have fallen below the cost of output for many producers, creating a scenario in which global production may suffer in the months ahead if prices do not recover. Like other base metals, aluminum has tumbled from its highs earlier in the year on worries about the strength of the global economy and thus potential industrial demand, particularly as the European sovereign-debt crisis continues.
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Posted: November 9th, 2011 | Author: Rod Sherkin | Filed under: Aluminum | Tags: aluminium | No Comments »
The biggest decline in aluminum prices since the global recession means at least 25 percent of the world’s smelters may be unprofitable.
The metal fell 23 percent to $2,125 a metric ton on the London Metal Exchange since May 1 and energy costs gained 12 percent in the past month.
Twenty-five percent of production loses money below $2,350 and 50 percent under $2,000, according to estimates by Bloomberg Industries. About 10 percent of output may be shut by the first quarter, said Jochen Hitzfeld, the analyst at UniCredit SpA in Munich ranked by Bloomberg as the most-accurate price forecaster over two years.
via Aluminum Slump Means 25% of Smelters Losing Money: Commodities – Bloomberg.
Posted: October 30th, 2011 | Author: Rod Sherkin | Filed under: Aluminum | Tags: aluminium | No Comments »
Reuters reported that the US primary aluminum market is seeing a surprisingly strong burst in spot purchases at the start of the quarter with supplier order books filling up even as volatile financial markets dispel recovery hopes.
The demand pickup has caught physical market players by surprise many of whom expected the seasonally slower Q4 to close out 2011 with a whimper. So far it is shaping up to be a busier than normal quarter.
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Posted: October 27th, 2011 | Author: Rod Sherkin | Filed under: Copper, Metals | Tags: aluminium, Copper, lead, metal, nickel, tin, zinc | No Comments »
On the London Metal Exchange, copper for delivery in three months rose 6.1 percent to close at $8,145 a metric ton ($3.69 a pound) at 6:32 p.m. This week, the commodity has jumped 14 percent, poised for the biggest increase since Bloomberg data starts in April 1986.
Copper futures for December delivery advanced 5.8 percent to $3.692 a pound on the Comex in New York. This month, the price has surged 17 percent, heading for the largest gain since March 2009.
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