Reported 5 months ago
The article discusses a clash in the aluminum market between Trafigura Group, a commodities trading giant, and banks and hedge funds over a massive aluminum stash worth over $1 billion at London Metal Exchange warehouses. Trafigura has been delivering large volumes of aluminum onto the LME, prompting banks and hedge funds to buy up the metal and order it back out of the warehouse system. This has led to changes in aluminum ownership worldwide, warehouse queues, and speculation about potential shortages, with Trafigura accumulating aluminum in Port Klang and then transferring it onto LME warrant. The article highlights the ongoing battle for aluminum stockpiles, the impact on market dynamics, and differing views on aluminum prices and demand.
Source: YAHOO