The weekly Davis Index for A380.1 rose by 0.2¢/lb on Friday to $1.212/lb delivered US consumer after most suppliers reported lower inventories. 

 

Production shortages and delays over a long period have diminished inventories at secondary smelters that are now unable to keep up with actual market demand. A shortage of labor, along with supply issues related to raw materials has also led to demand outpacing supply to a large extent. Many smelters report getting orders from companies they have never done business with before because the latter are running out of vendors to supply them with ingots. 

 

The weekly index for A356.1 fell by 1.5¢/lb to $1.455/lb delivered US consumer while A413.1 moved to $1.45/lb delivered, up 1.5¢/lb. The index for A360.1 jumped by 2¢/lb to $1.44/lb delivered. The weekly index for 319.1 was unchanged at $1.32/lb delivered. 

 

The official LME Aluminium cash price settled Friday at $2,673.50/mt ($1.213/lb), up $104/mt from Aug 20. Notably, the market is now in a $18/mt backwardation, suggesting slight weakness in the medium term. 

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