Commerzbank: Aluminium Shortage Supports Prices Despite Gulf Outages
Commerzbank analyst Barbara Lambrecht notes that aluminium’s recent correction has likely ended, with prices rebounding as Chinese and LME inventories drop sharply and Gulf smelter outages provide support.
Commerzbank's Barbara Lambrecht states that aluminium's recent price correction has probably run its course. Prices are now recovering as inventories on the Shanghai Futures Exchange and the London Metal Exchange fall significantly.
Additionally, outages at smelters in the Gulf region are adding upward pressure to prices despite the disruptions. The combination of lower stockpiles and reduced supply is underpinning the metal's rebound.
Lambrecht's analysis suggests the fundamental outlook remains supportive for aluminium in the near term.
Source: FXStreet Forex News