Aluminium on MCX settled down -1.38% at 106.85 tracking weakness from LME Aluminium which was bid 1.5 per cent weaker at $US1,600, the lowest in more than three weeks. Aluminium was the only metal in negative territory – it was last at $1,618, down $7, after a surprise stock jump of 12,600 tonnes to 2,310,050 tonnes.
Prices are under pressure due to LME stock rose while prices can see bounce again as strengthening Chinese demand led Norsk Hydro, to raise its forecast for global aluminium demand growth this year to 4-5 percent as it reported forecast-beating earnings on Thursday.
At the MCX, Aluminium futures for July 2016 contract is trading at Rs 107.25 per 10 grams, up by 0.37 %, after opening at Rs 106.35, against a previous close of Rs 106.85. It touched an intraday high of Rs 107.50.
Aluminium trading range for the day is 105.2-109.8.
Norsk Hydro ASA raised its annual global aluminum demand-growth forecast to 4 % to 5 % for 2016.
Aluminum daily stocks at Shanghai exchange came down by 2199 tonnes.