Base metals on the London Metal Exchange ended the week on a high at the close of trading on Friday May 4, with aluminium's three-month price rocketing 3.5% over the day.
The light metal found support during the afternoon, rebounding to a high of $2,367.50 per tonne. Aluminium's cash/three-month spread moved from a backwardation of $1 per tonne earlier in the day, to $20.50b per tonne by close. The metal's price activity continues to react sensitively to sanction-related news, with the US' softer stance against Rusal easing market volatility. "There could be some upside risks to global aluminium output. Section 232 import duties into the US have emboldened producers to restart previously shuttered capacity," James Moore, analyst at Metal Bulletin said. "The restarts announced by Century Aluminum, Magnitude 7 Metals (formerly Noranda Aluminum), together with Alcoa's Warrick smelter amount to almost 500,000 tonnes per year, while capacity restarts are also under...