Aluminium's fall was more acute than some of its
LME peers on Thursday, though the whole complex posted losses on a quiet day. Before we signed off the light metal had tripped below the nearby 30- and 10-day moving averages, setting off fresh selling from opening levels at 2480 to 2453 in the premarket. Things stabilised for the morning sessions, though the release later of worse-than-expected US factory goods orders and an increase in initial jobless claims triggered liquidation in the others. CTAs had gone quiet after a buying spree at the start of the week and the possibility of a strike settlement in Peru plus the usual monthly jitters ahead of today's non-farm payroll data signalled caution. With copper and zinc in particular rattling off, aluminium slid all the way to 2418 while its forwards were offered 'aggressively', one local noted.
Nearby spreads contracted as usual with the passing of a (long) weekend, while forward contangos (to end 2009) flared wider and backwardations (thereafter) narrowed. Rates eased generally by $1.50-$2.50/mth, putting 3m-Dec2011 at 103.00c (38.00c), with the date outright holding rock-steady at 2526.
So far on Friday morning trading activity had been dull in the extreme, with brokers possibly busier juggling seating plans for next Tuesday's
LME Dinner than getting on with the day job. Prices had hovered between 2437 and 2420, on lowly turnover via Select of only 1,100 lots at time of writing.
In their latest daily update Cliff Green Consultancy remained short, they wrote, eyeing a test of last month's lows c. 2370/80, with falls towards 2325 anticipated in the event of a decisive breach. Last at 2434.
豫公网安备41010502003434号