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**AEGIS is attending the SMU Steel Summit Conference 2022 at the Georgia International Conference Center in College Park on August 22 – 24. If you would like to schedule a meeting during the summit, please contact Patrick McCrann at pmccrann@aegis-hedging.com or (713) 936-2806. ** |
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China’s alumina exports could stay above 100,000 mt/month in 2H 2022, according to Bloomberg estimates. This is an increase from the record 570,000 mt the country exported in 1H. Exports have increased in recent months due to ample domestic supplies and increasing international prices. Rusal, which is Russia’s largest aluminum producer, is grappling with sanctions and logistical issues and has received most of China’s recent alumina shipments. According to Bloomberg, Chinese annual production could increase by 8% to 78 million mt this year, and another 5% to 82 million mt next year, as new capacity is brought online. Global aluminum prices have tumbled in recent months; however, China’s increasing alumina shipments could be neutral to aluminum prices, as Europe is grappling with more aluminum smelter shutdowns. Aluminum end-users that are concerned about increasing prices could consider buying swaps or call options, as either would establish a maximum aluminum price. Such positions are basic for consumer hedging; however, they can result in opportunity costs or cash costs if metal prices decrease. Please contact AEGIS for specific strategies that fit your operations. (8/17/2022) |
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Note: Clients with AEGIS Platform access can see this and other research, plus hedge portfolio reporting and tools here. |
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Price Indications |
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Today's Charts |
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AEGIS Insights |
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8/16/2022: Zinc Prices Are On The Rebound Due To Supply Issues 8/10/2022: AEGIS Factor Matrices: Most important variables affecting metals prices 8/9/2022: Aluminum prices are finding support: Consumers can lock in lower costs in 2023 and beyond 8/2/2022: Russia Finds New Alumina Supply |
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| Important Headlines | ||
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8/16/2022: Nyrstar to put Budel zinc operations on care and maintenance on Sept 1 8/16/2022: China's Tsingshan considers selling Indonesian assets to Baowu 8/15/2022: Green steel still decades away: BlueScope 8/15/2022: Commodity Tracker: 4 charts to watch this week 8/12/2022: Sky-high energy costs to fan fire under aluminium and zinc prices |
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Important Disclosure: Indicative prices are provided for information purposes only, and do not represent a commitment from AEGIS Hedging Solutions LLC ("Aegis") to assist any client to transact at those prices, or at any price, in the future. Aegis makes no guarantee to the accuracy or completeness of such information. Aegis and/or its trading principals do not offer a trading program to clients, nor do they propose guiding or directing a commodity interest account for any client based on any such trading program. Certain information in this presentation may constitute forward-looking statements, which can be identified by the use of forward-looking terminology such as “edge,” “advantage,” “opportunity,” “believe” or other variations thereon or comparable terminology. Such statements are not guarantees of future performance or activities.
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