Aluminium falls on higher Chinese exports and hopes for Middle East de-escalation
XLB•Aluminium fell 1.1% to $3,031.50 a metric ton, its lowest in more than two weeks, as higher Chinese exports and hopes for Middle East de-escalation eased supply concerns. China’s aluminium and aluminium products exports rose 18% to 5.9 million tons in the first 10 months of 2026.
1. Prices decline
Benchmark three-month aluminium on the London Metal Exchange fell 1.1% to $3,031.50 a metric ton by 0950 GMT, after touching $3,014, its lowest level since October 23. Prices have declined 20% since reaching a four-year high in June.
2. Supply and inventories
Analysts at ANZ said global supply growth should outpace demand and turn the market into a surplus in 2027 as Middle East production returns and Indonesian projects ramp up. They said supply risks could keep prices volatile and above $3,000 through early 2027. LME-registered warehouse stocks stood at 207,525 tons, their lowest level since March 2025, while the cash contract premium over the three-month benchmark was $96 a ton, its widest since June.
