Analyst: Supply concerns push aluminum prices back above $3,400

Golden Ten Data reported on March 11 that aluminum prices have risen above $3,400 again, driven by supply concerns and withdrawals from London Metal Exchange warehouses. Sucden Financial analysts stated: "We believe this change in warehouse dynamics indicates that the spot market is becoming more cautious." The Middle East conflict is putting pressure on supplies from the Gulf region, and withdrawals from London Metal Exchange warehouses (which usually occur when buyers take metal for actual consumption or export) show that the market is worried about possible delays or reductions in the transportation or delivery of aluminum.