Aluminium gains on supply uncertainty, broad risk-on mood

Aluminium prices moved higher on Wednesday as investors weighed tighter availability against a broadly risk-on mood, Business Recorder reported. By 0300 GMT, the London Metal Exchange’s three-month benchmark had gained 0.34% to $3,097.5 a metric ton, while the most-traded Shanghai contract rose 0.11% to 23,765 yuan ($3,565.11) a ton.

Supply concerns were reinforced by orders to remove 3,500 tons from LME-registered Asian warehouses on Tuesday, while aluminium held in Shanghai Futures Exchange-monitored warehouses declined by more than 10% last week to 212,858 tons. A trader said aluminium was also tracking strength in equities, supported by renewed confidence in artificial intelligence. Copper was mixed before the US Federal Reserve meeting, while other LME metals posted varied moves: zinc and lead rose, but nickel and tin fell.