MI aluminium stocks analysis: Strong cancellations

The LME aluminium stocks headline figure continues to dither at current levels with inflow and draws still broadly balancing each other out. As such the most interesting feature of Tuesday's LME warehouse activity was a robust rate of cancellation, with a total 6,325t moving into this category. That's pushed the overall ratio of cancelled tonnage back up through the 4.0% level to 4.2%. Note the concentration of cancellations on Asian locations, extending a recent theme. Pusan in South Korea now accounts for the largest concentration of cancelled tonnage with 12,675t in this category.