Downgrades to economic outlook pressure down LME prices to a new two-week low.
LME 3M aluminum prices closed the session down 0.4% or $8 per mton at $1,866 per mton, and retested today’s intraday low of $1,860 per mton in after-hours amid mounting concerns about metals demand growth. Specifically, the OECD sharply downgraded its world economic growth outlook for 2019, while the New York Fed president hinted that interest rates may have peaked. The decline in LME prices so far in March is jeopardizing a trading range pattern established since early January. Failure to remain above $1,830 per mton could unleash fresh selling toward $1,770 per mton.