Aluminium yesterday traded with the negative node and settled -0.32% down at 110.2 on worries about faltering global growth hit equities and commodities on Thursday after weak data on manufacturing activity in China and the euro zone. Total world aluminum production fell by 6.6% to 1.998 million tons in February 2012 on m-o-m basis with 2.139 million tonnes registered in January 2012, as per the International Aluminum Institute. The major declines were seen in Africa, Oceania and GAC/Gulf regions. World production aluminium production was up by 2.5% on y-o-y basis with 1.95 million tonnes registered in February 2011. Aluminium production rose by 1.2% to 4.137 million tonnes during the period of Jan-Feb 2012 compared with the 4.089 million tonnes registered in the corresponding period previous year. Chairman Ben S. Bernanke said yesterday that public expectations that inflation will remain low gives the Fed leeway to maintain record monetary easing. He and other policy makers said last week in a statement that economic slack and subdued inflation will probably warrant keeping the main interest rate at close to zero at least through late 2014. In yesterday's trading session aluminium has touched the low of 109.35 after opening at 110.75, and finally settled at 110.2. For today's session market is looking to take support at 109.4, a break below could see a test of 108.6 and where as resistance is now likely to be seen at 110.9, a move above could see prices testing 111.6.

Trading Ideas:

Aluminium trading range for the day is 108.63-111.63.

Aluminium settled down on worries about faltering global growth after weak data on manufacturing activity in China and euro zone

Total world aluminum production fell by 6.6% to 1.998 million tons in February 2012 on m-o-m basis - IAI

Aluminium production rose by 1.2% to 4.137 million tonnes during the period of Jan-Feb 2012