LONDON, Feb 26 (Reuters) – Aluminium prices hit a
one-month low on Monday after inventories in Shanghai jumped and
the United States did not impose sanctions on Russian metal.
Benchmark aluminium on the London Metal Exchange
rose 0.3% to $8,495 a metric ton by 1105 GMT from an earlier
$2,175, its lowest since Jan. 23. It hit a three-week high last
week in anticipation of a U.S. package of sanctions against
Russia, including metals.
“It doesn’t make sense for the U.S. to hit aluminium because
the Russians will retaliate. Russia could restrict PGM (platinum
group metals) exports and hurt the auto industry,” said Liberum
analyst Tom Price.
“Normally at this time of year you see inventories of copper
and zinc in Shanghai expand. It’s odd seeing aluminium and
nickel rise as well. It’s probably metal being released back to
the market by speculators.”
Aluminium stocks
