Aluminum prices jumped in London after United Co. Rusal International said it halted shipments at an alumina refinery in Ukraine that’s a key source of raw material for its smelters in Russia.
The shutdown is the latest sign of supply turmoil in aluminum and broader metals markets in the wake of the invasion of Ukraine, with traders and analysts also bracing for severe disruption in Russian exports.
Aluminum prices rose 2.7% to $3 448 a ton on the London Metal Exchange, leading other metals higher. Prices hit an all-time high of $3 525 earlier Monday, and analysts say they expect further gains after the unprecedented package of western sanctions against Russia announced over the weekend.