Aluminium Market Slumps Amid Improved Supply Outlook
The aluminium market is experiencing a downward trend due to an improved supply outlook as several smelters restart and increase their production capacity.
This has led to a drop in prices, with aluminium trading at 345.4-349.6 on the MCX. Japan's August aluminium stocks increased by 22.7% month-over-month, while inventories monitored by the Shanghai Futures Exchange fell 7.7% from last Friday.
Copper prices have also fallen due to a stronger dollar and investors taking profits. Comex copper inventories are showing modest daily inflows as the premium of US copper futures over LME prices rises.
Zinc is trading flat, with elevated prices weakening demand and discouraging buyers in China. China's zinc output contracted for the first time in nearly a year in August 2026 due to production disruptions at several mines, including those in China.