Aluminium improves in LME trade

Print this page Posted on : 08-19-2011 by recycleinme.com

London, Aug. 18

Copper prices sagged on Thursday as the Euro zone debt crisis and worries about an economic slowdown in top consumer China reinforced gloomy prospects for growth and demand, while a higher dollar also undermined sentiment.

Benchmark copper traded at $ 8,828 a tonne in official rings from $ 8,970 a tonne at the close on Wednesday. The metal used in power and construction earlier on Thursday hit a session low of $ 8,806 a tonne.

Debt crises in the euro zone and the US have in recent weeks hit the copper price, which is down nearly 10 per cent since Aug. 1 when it touched $ 9,905 a tonne, the highest since April.

Stocks of copper in LMEregistered warehouses fell 1,650 tonnes to 462,975 tonnes, while those for aluminium rose 6,825 tonnes to above 4.56 million tonnes.

However, about 70 per cent of those aluminium stocks are tied up in financing deals.

Healthy Chinese consumption can be seen in stocks of aluminium monitored by the Shanghai Futures Exchange, which at around 150,000 tonnes are about half the level seen in early June.

Benchmark aluminium traded at $ 2,405 a tonne in official rings from $ 2,395 on Wednesday. Zinc was untraded, but bid at $ 2,185 from $ 2,215, and lead traded at $ 2,332 from $ 2,366.

Tin was bid at $ 23,895 from $ 24,005, and nickel at $ 21,575 from $ 21,950 on Wednesday.

Source : Business Line