Market and product
Japanese Production Of Aluminium Improves In June
Aluminium mill products (extruded) production was at 65153 tonnes on June 2010, up 13.5% from 57387 tonnes production in May 2010. Aluminium foils production stood at 10833 tonnes up from 9584 tonnes or 13% from May 2010.
Aluminium wires production appreciated by 8.6% to 3729 tonnes in June 2010 as against 3435 tonnes in May 2010.
Profit booking in early trades and built up of short positions has declined Aluminium on MCX. The prices have moved up by 5% in July. Recovering equity markets and consistency on economic front along with good vehicle sales numbers in China and India has helped the metal.
Aluminium is majorly used in the production of vehicles mostly cars. The metal is light in weight while the tensile strength is high which makes the vehicle low weighted and increases its mileage.
On LME last night the inventories were down by 4500 tonnes to 4390625 tonnes on Thursday. The Cash prices on LME were at $ 2093 per tonne at the time of settlement last night.
MCX Aluminium now trades at Rs 97 per kg, down 0.5% from closing of Thursday. The prices are expected to find supports at Rs 96-95 levels in today's session.
(Source: www.indiainfoline.com)
