jerryandmargeselbee| Trafigura Group: Supply recovery will cause aluminum prices to fall by at least 6% in the next six months

Henry Van, an analyst at metals trading giant Trafigura Group, said aluminum prices should fall by at least 6% over the next six months as supply returns to the market and high interest rates continue to dampen manufacturing demand. The analyst said at the CRU World Aluminum Conference on Wednesday: "jerryandmargeselbeeThe demand situation we are currently seeing is very serious. Fundamentally speaking, this is an excessive rebound."

Data showed that three-month aluminum futures prices on the London Metal Exchange have risen 8% so far this year and have recently followed the general rise in commodity markets. Analysts said commodity-grade aluminum prices should return to their earlier trading range of $2,100 - 2,400 a ton in the next six months, citing weakening demand. At the same time, rising aluminum prices are encouraging smelters to resume production, thereby increasing supply.