MARKET TALK: LME Aluminum May Get Boost From 2Q Fund Buying

LME aluminum may get boost from fresh fund buying as 2Q gets underway, though economic data from U.S., elsewhere needs to be supportive, says HARBOR Intelligence. Notes "during the first week of the quarter, there is usually fresh fund allocation and thus upward demand in the commodity markets," but weaker U.S. March ISM data, eurozone March manufacturing PMI, disappointing BOJ 1Q tankan survey yesterday discouraged fresh buying; however, other data releases this week could be supportive, while CRB index broke key resistance overnight, oil, copper prices trending higher, may prompt spillover buying. LME 3-month aluminum last at $2,765/ton, +$10 on London PM kerb.