MCX Aluminium futures soared above Rs 160 per kg today amid excellent buying as global Aluminium market remained in a terrific form. The LME Aluminium futures soared to a fresh seven year high as a massive rally from lows under $ 2000 per tonne extended. The metal closed at $ 2375 per tonne yesterday, up 0.72% on the day. The counter has added nearly 20% in last one and half weeks now. MCX Aluminium futures raced up today after an early break above Rs 160 per kg levels and currently trade at Rs 161.30 per kg, up 1.35% on the day. While the massive spurt is primarily fueled by the trade frictions between US and Russia, supportive economic data is also catching up with the market now.
Chinas economy grew at 6.8% in the first quarter, buoyed by strong consumer demand, healthy exports and robust property investment. Data also showed that Chinas March retail sales rose 10.1% from a year earlier, rising at the strongest pace in four months. Chinas central bank also lowered the reserve requirement ratio for most commercial banks on Tuesday, to free up funds for lending and improve liquidity as the economy sustained growth momentum in the first quarter. In a statement, the Peoples Bank of China said it reduced the ratio of cash that banks should hold as reserves, by 100 basis points, with effect from April 25. The rate is currently at 17% and 15%.
After reporting a sharp pullback in new residential construction in the US in the previous month, the Commerce Department released a report showing housing starts rebounded in the month of March. The report said housing starts jumped by 1.9% to an annual rate of 1.319 million in March after sliding by 3.3% to a revised 1.295 million in February. Multi-family starts soared by 14.4% to a rate of 452,000, while single-family starts fell by 3.7% to a rate of 867,000.