• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Wind droughts
  • 18 hours "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 3 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 2 days "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 8 hours Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 12 days "Forget Oil, The Real Crisis Is Diesel Inventories: The US Has Just 25 Days Left" by Zero Hedge - 5 Stars *****
  • 5 days The Federal Reserve and Money...Aspects which are not widely known
  • 3 days "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 9 days Is Europe heading for winter of discontent with extensive gas shortages?
  • 5 days "Dodgy Demand Data? The Oil Price Collapse Conspiracy" by Alex Kimani
  • 12 days "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 13 days Goldman Betting on Cryptocurrencies
  • 16 days Сryptocurrency predictions
Rare Earth Supply Chains Are In Chaos

Rare Earth Supply Chains Are In Chaos

Countries across the globe are…

Nickel Prices Could See Some Bullish Upside This Month

Nickel Prices Could See Some Bullish Upside This Month

Bullish catalysts are mounting for…

Ag Metal Miner

Ag Metal Miner

MetalMiner is the largest metals-related media site in the US according to third party ranking sites. With a preemptive global perspective on the issues, trends,…

More Info

Premium Content

A “Perfect Storm” Is Brewing In Aluminum Markets

  • Aluminum supply is struggling as European smelters grapple with high energy costs, though demand is still lacking.
  • Prices rebounded slightly following the Federal Reserve’s latest interest rate hike. 
  • The United States is facing a “perfect storm” as beverage giants scramble for aluminum supply.

Via AG Metal Miner

Aluminum supply continues to shrink thanks to smelter shutdowns caused by ongoing energy shortages. Aluminum prices enjoyed a brief rebound following the Fed’s latest rate hike of three-quarters of a point. However, in the short term, aluminum prices remain in a downward trend. Earlier this week, MetalMiner noted how smelter shutdowns in China and Europe were impacting the aluminum market. Indeed, demand continues to drop in places like China, where construction has yet to hit full force after years of COVID-19 shutdowns. However, the question remains: will prices go bullish or bearish in the long run?

Aluminum Prices and Market Trends

Aluminum prices recently began to break down, breaching short-term range support levels. When this occurred, it indicated the potential for a long-term reversal. However, aluminum fundamental data continues to impose various risk factors on any bullish price action. Still, the growing likelihood of widespread supply shortages counters this.

Related: Tesla Gigafactory Catches Fire In Germany

What’s more, investors and traders continue to monitor aluminum prices under a microscope, especially with 2023 fast approaching. It’s possible these patterns could indicate a long-term downtrend.

US Business: Aluminum Can Shortage

Aluminum cans increased in popularity in recent years, bringing aluminum prices up. Indeed, many breweries and companies prefer aluminum to glass because it is easier to package and less expensive. This, paired with global manufacturing shutdowns, is contributing to a “perfect storm” of sorts.  

While the use of aluminum remains crucial for these industries, the supply is simply not there. In fact, the problem is so bad that lead times for aluminum can supplies have been upwards of 5-6 months. Ongoing post-pandemic supply-chain shortages are also a major crux. However, it’s likely that manufacturing shutdowns will = continue to impact aluminum can supplies and, by extension, aluminum prices.

By The MetalMiner Team

More Top Reads From Oilprice.com

Download The Free Oilprice App Today

Back to homepage

Leave a comment
  • George Doolittle on September 26 2022 said:
    Meanwhile the latest on *"Going on the Down Low now!"* news..

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News