Aluminium stocks in focus as USA may ban Russian Aluminium

13 Oct 2022 , 12:10 PM

In response to expectations that the US is mulling an embargo on Russian aluminium, the share prices of Hindalco, Vedanta, and NALCO all increased 1.5—3% at market opening.

A metric tonne of aluminium rose as much as 7.3% on the London Metal Exchange, one of the largest intraday swings ever, before finishing the day 3.1% higher at $2,305.

The largest US manufacturer, Alcoa, saw its shares end the day 5.3% higher after reaching an all-time high of 8.6% in New York trading.

As tensions between Russia and Ukraine rise, the US is considering three possibilities, according to Bloomberg: a complete ban, tariff increases to levels that would effectively impose a ban, or sanctions against United Co Rusal International PJSC, the business that manufactures the nation’s metal.

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