Aluminium rise likely
NZPA-Reuter London Cash aluminium prices may have a volatile year in 1989, with more potential for a rise than a fall, according to a Shearson Lehman Hutton Inc., analyst, Mr Neil Buxton. Shearson’s review of the world aluminium industry published last week forecasts an average cash price on the London Metal Exchange for the year of U597.5C a lb or SUS2ISO a tonne. Cash aluminium traded around SUS2I3O last Tuesday. “There is plenty of potential within a U597.5C average for a lot of volatility,” Mr Buxton told reporters. He said a range similar to last year’s USB9 to 196 c was possible. Cash prices on the LME
rose to over SUS43OO a tonne in June last year, though three months delivery only reached a peak of SUS32SO. Mr Buxton attributed the potential for volatility to a delicate market balance, with stocks staying at about six weeks consumption, high operating rates at the alumina and prime metal production stage and another year of record demand.
Technical problems at production facilities or any difficulties in labour negotiations scheduled for some small producers this year could bring a sharp rise in the price, he added.
Mr Buxton said there was much less downside potential,
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/CHP19890220.2.90.20
Bibliographic details
Press, 20 February 1989, Page 14
Word Count
204Aluminium rise likely Press, 20 February 1989, Page 14
Using This Item
Stuff Ltd is the copyright owner for the Press. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Copyright in all Footrot Flats cartoons is owned by Diogenes Designs Ltd. The National Library has been granted permission to digitise these cartoons and make them available online as part of this digitised version of the Press. You can search, browse, and print Footrot Flats cartoons for research and personal study only. Permission must be obtained from Diogenes Designs Ltd for any other use.
Acknowledgements
This newspaper was digitised in partnership with Christchurch City Libraries.
Log in