InvestorQ : How have aluminium prices moved in the past?
vani Patil made post

How have aluminium prices moved in the past?

Answer
user profile image
Dilmini Mercia answered.
2 years ago


Most prices of aluminium are approximations at a point of time and are subject to constant change. On the LME, the price of aluminium is expressed in terms of $/MT, where one metric ton represents the equivalent of 1000 KG. Like in case of copper we have seen aluminium also peak out around 2012 and then move sharply down. This fall in aluminium prices were largely driven by weak demand from China and a global economic slowdown across the board. Even in case of aluminium, the Trump trade is clearly visible from the middle of 2016 when aluminium prices went up sharply on expectations that the $1 trillion infrastructure investment proposed by Trump would be a game-changer for aluminium demand. The LME is also betting on greater demand for aluminium from China as the Chinese economy is seeing a pick-up in GDP and in global trade. Additionally, the Chinese Railways is also planning a multi-billion dollar capital expansion.