The rise in metal prices is due to concerns over supplies, after Rio Tinto announced force majeure to contracts following US sanctions on its partner Rusal.
Monday, April 16, 2018 at 8:46 AM
LONDON (Reuters) –
Aluminum prices touched new six-year highs on Monday on worries about supplies, after Rio Tinto announced on Friday it will declare force majeure on some customer contracts following US sanctions on its partner Rusal.
The benchmark for aluminum on the London Metal Exchange was up 2.5% at $ 2,342 per ton, its highest level since March 2012.
Rio Tinto also said on Friday it was reviewing Rusal’s 20% stake in the Queensland Alumina refinery.
Swiss commodity operator Glencore will declare force majeure on some aluminum supplies, a source told Reuters last week.
Total aluminum stocks increased to 1.4 million tons and have risen 9% since the beginning of sanctions on Rusal on April 6.
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