Aluminum price supported by limited supply
The aluminum price hiked by 0.9% earlier Monday due to the continued production restrictions caused by China's winter power shortage and capacity ceiling at local smelters.
In addition to China increasing its support for the country’s real estate industry, the weaker US dollar also supports the aluminum price owing to an expectation of the Fed to loosen monetary policy next year.
The global aluminum shortage is expected to reach 1.23 million tons in 2024, almost double the deficit in 2023, with prices increasing to US$2,600/ton in 12 months.
