MI alloy stocks analysis: Steady downtrend maintained

The long-running downtrend in LME warehouse stocks of alloy continued last week to the tune of 740t. Once again there were no arrivals in the system—the last were back on July 16—and the headline figure is now showing a year-to-date decline of 24,280t, or 24.5%. Unless metal turns up in the system soon, this trend looks set to continue. Fresh cancellation activity is solid—there were 700t of them last week—and the cancelled pipeline will support current draw rates for several more days yet.