Aluminum spot prices are at a crucial level
With aluminum warehouse levels sitting at ten-year lows and aluminum spot prices negative for the year, the end of year positioning for aluminum pricing is taking hold. While world trade issues may not become clear for some time and remain an issue, an expected move in aluminum prices is expected for the beginning of the year. If aluminum warehouse levels continue to go lower, the spot price of aluminum should benefit and any extended bump over the .90 level (currently .89), look for aluminum to try and get back to trading at 1.00 or higher. As a result, aluminum scrap prices will increase as well. However, if the price of aluminum is unable to stay over the .90 level, the price of aluminum can weaken and test the .80 mark.