Aluminium
Aluminium is a versatile metal used in various industries, including construction, transportation, packaging, aerospace and electronics. Trading aluminium can be attractive due to its widespread applications and hedging capabilities. This tutorial explains what influences the price of the industrial metal and how to trade aluminium online. Use our list of the best aluminium brokers to start investing:
Top UK Brokers For Aluminium Trading
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Founded in Australia in 2010, Pepperstone is a highly regarded broker specialising in forex and CFDs. Serving more than 400,000 clients globally, it provides access to over 1,300 financial instruments through popular platforms like MT4, MT5, cTrader, and TradingView. Its fee structure is both low and transparent. With regulation by reputable bodies such as the FCA, ASIC, and CySEC, Pepperstone guarantees a safe trading environment for traders at every level.
Instruments Regulator Platforms CFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto (only Pro clients), Spread Betting FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB MT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade, Quantower Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:500 (Pro) -
Established in Poland in 2002, XTB caters to over a million clients worldwide. This forex and CFD broker offers a robust regulatory framework, a diverse range of assets, and prioritises trader satisfaction. It provides an intuitive proprietary platform equipped with excellent tools to support aspiring traders.
Instruments Regulator Platforms CFDs on shares, Indices, ETFs, Raw Materials, Forex currencies, cryptocurrencies, Real shares, Real ETFs FCA, CySEC, KNF, DFSA, FSC, SCA, Bappebti xStation Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 -
Interactive Brokers (IBKR), a leading brokerage, offers access to 150 markets across 33 countries and provides extensive investment services. With more than 40 years of experience, this Nasdaq-listed company complies with strict regulations from the SEC, FCA, CIRO, and SFC. It is among the most reliable brokers worldwide for traders.
Instruments Regulator Platforms Stocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, CFDs, Cryptocurrencies FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB, FINMA, AFM Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, TradingView, eSignal, TradingCentral, ProRealTime, Quantower Min. Deposit Min. Trade Leverage $0 $100 1:50 -
Fusion Markets, an online broker since 2017, operates under the regulation of ASIC, VFSC, and FSA. Renowned for offering cost-effective forex and CFD trading, it provides various account options and copy trading solutions to suit diverse trading needs. New clients can begin trading with a simple three-step registration process.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, Crypto ASIC, VFSC, FSA MT4, MT5, cTrader, TradingView, DupliTrade Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:500 -
Trade Nation is a leading FX and CFD broker regulated in the UK and Australia, among other places. The company provides competitively priced fixed and variable spreads on over 1,000 assets. Traders benefit from advanced platforms and comprehensive training materials. Additionally, the Signal Centre offers valuable trade ideas.
Instruments Regulator Platforms Forex, CFDs, Indices, Shares, Commodities, Futures, Bonds, Spread Betting, Cryptos (Bahamas Entity Only) FCA, ASIC, FSCA, SCB, FSA MT4 Min. Deposit Min. Trade Leverage $0 0.1 Lots 1:500 (entity dependent) -
BlackBull, a New Zealand-based CFD broker, offers a wide range of trading options across more than 26,000 instruments. Following a 2023 rebrand, it boasts a contemporary design and provides advanced trading tools along with ultra-fast execution speeds, averaging 20ms.
Instruments Regulator Platforms CFDs, Stocks, Indices, Commodities, Futures, Crypto FMA, FSA BlackBull Invest, BlackBull CopyTrader, MT4, MT5, cTrader, TradingView, AutoChartist Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:500 -
Founded in 1974, IG is a part of IG Group Holdings Plc, a publicly listed brokerage (LSE: IGG). The company provides spread betting, CFD, and forex trading, offering access to over 17,000 markets. Its platforms and investing apps are notably user-friendly. Over the past 50 years, IG has consistently been an industry leader, excelling in all essential areas for traders.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, ETFs, Futures, Options, Crypto, Spread Betting FCA, ASIC, NFA, CFTC, DFSA, BaFin, MAS, FSCA, FINMA, CONSOB, AFM, JFSA Web, ProRealTime, L2 Dealer, MT4, TradingView, AutoChartist, TradingCentral, ProRealTime Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:222 (Pro)
Pepperstone
XTB
Interactive Brokers
Fusion Markets
Trade Nation
BlackBull Markets
IGSafety Comparison
Compare how safe the Aluminium are and what features they offer to protect traders.
| Broker | Trust Rating | FCA Regulated | Negative Balance Protection | Guaranteed Stop Loss | Segregated Accounts |
|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✘ | ✔ | |
| XTB | ✔ | ✔ | ✔ | ✔ | |
| Interactive Brokers | ✔ | ✔ | ✘ | ✔ | |
| Fusion Markets | ✘ | ✔ | ✘ | ✔ | |
| Trade Nation | ✔ | ✔ | ✘ | ✔ | |
| BlackBull Markets | ✘ | ✔ | ✘ | ✔ | |
| IG | ✔ | ✔ | ✔ | ✔ |
Payments Comparison
Compare which popular payment methods the Aluminium support and whether they have trading accounts denominated in British Pounds (GBP).
| Broker | GBP Account | Debit Card | Credit Card | Neteller | Skrill | Apple Pay |
|---|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✔ | ✔ | ✔ | ✔ |
| XTB | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| Interactive Brokers | ✔ | ✔ | ✘ | ✘ | ✘ | ✘ |
| Fusion Markets | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| Trade Nation | ✔ | ✔ | ✔ | ✘ | ✔ | ✘ |
| BlackBull Markets | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| IG | ✔ | ✔ | ✔ | ✘ | ✘ | ✘ |
Mobile Trading Comparison
How good are the Aluminium at mobile trading using apps or other mobile interfaces.
| Broker | Mobile Apps | iOS Rating | Android Rating | Smart Watch App |
|---|---|---|---|---|
| Pepperstone | iOS & Android | ✘ | ||
| XTB | iOS & Android | ✔ | ||
| Interactive Brokers | iOS & Android | ✔ | ||
| Fusion Markets | iOS & Android | ✘ | ||
| Trade Nation | iOS & Android | ✘ | ||
| BlackBull Markets | iOS & Android | ✘ | ||
| IG | iOS & Android | ✔ |
Beginners Comparison
Are the Aluminium good for beginner traders, that might want an affordable setup to get started, along with good support and educational resources?
| Broker | Demo Account | Minimum Deposit | Minimum Trade | Support Rating | Education Rating |
|---|---|---|---|---|---|
| Pepperstone | ✔ | $0 | 0.01 Lots | ||
| XTB | ✔ | $0 | 0.01 Lots | ||
| Interactive Brokers | ✔ | $0 | $100 | ||
| Fusion Markets | ✔ | $0 | 0.01 Lots | ||
| Trade Nation | ✔ | $0 | 0.1 Lots | ||
| BlackBull Markets | ✔ | $0 | 0.01 Lots | ||
| IG | ✔ | $0 | 0.01 Lots |
Advanced Trading Comparison
Do the Aluminium offer features that allow for more advanced trading strategies?
| Broker | Automated Trading | Pro Account | Leverage | VPS | AI | Low Latency | Extended Hours |
|---|---|---|---|---|---|---|---|
| Pepperstone | Expert Advisors (EAs) on MetaTrader | ✔ | 1:30 (Retail), 1:500 (Pro) | ✔ | ✘ | ✔ | ✘ |
| XTB | Open API | ✔ | 1:30 | ✘ | ✘ | ✔ | ✘ |
| Interactive Brokers | Capitalise.ai & TWS API | ✘ | 1:50 | ✘ | ✔ | ✔ | ✔ |
| Fusion Markets | Expert Advisors (EAs) on MetaTrader, cBots on cTrader | ✘ | 1:500 | ✔ | ✘ | ✔ | ✘ |
| Trade Nation | Expert Advisors (EAs) on MetaTrader | ✘ | 1:500 (entity dependent) | ✘ | ✘ | ✘ | ✘ |
| BlackBull Markets | Expert Advisors (EAs) on MetaTrader, cTrader Automate | ✘ | 1:500 | ✔ | ✔ | ✔ | ✘ |
| IG | Expert Advisors (EAs) on MetaTrader, build your own on ProRealTime | ✔ | 1:30 (Retail), 1:222 (Pro) | ✔ | ✔ | ✔ | ✔ |
Detailed Rating Comparison
Use this heatmap to compare our detailed ratings for all of the Aluminium.
| Broker | Trust | Platforms | Mobile | Assets | Fees | Accounts | Support | Research | Education |
|---|---|---|---|---|---|---|---|---|---|
| Pepperstone | |||||||||
| XTB | |||||||||
| Interactive Brokers | |||||||||
| Fusion Markets | |||||||||
| Trade Nation | |||||||||
| BlackBull Markets | |||||||||
| IG |
Our Take On Pepperstone
"Pepperstone is a premier trading platform, providing tight spreads, swift execution, and sophisticated charting tools for seasoned traders. Beginners benefit from no minimum deposit, comprehensive learning materials, and outstanding 24/7 support."
Tobias Robinson
Reviewer
Pros
- The award-winning customer support can be accessed through phone, email, or live chat. During tests, response times have consistently been under 5 minutes.
- Pepperstone now offers spread betting via TradingView, delivering a streamlined and tax-efficient trading experience with sophisticated analytical tools.
- In recent years, Pepperstone has significantly enhanced the deposit and withdrawal process. By 2025, clients can use Apple Pay and Google Pay, while 2024 saw the introduction of PIX and SPEI for customers in Brazil and Mexico.
Cons
- Pepperstone doesn't offer cTrader Copy, a favoured feature for copying trades found in the cTrader platform, which is available on other platforms such as IC Markets. However, Pepperstone has launched its own user-friendly copy trading app.
- Although its market range has improved, its crypto offerings remain limited compared to brokers specialising in this sector, lacking real coin investment options.
- Pepperstone's demo accounts expire after 30 days, which may not provide sufficient time to explore various platforms and evaluate trading strategies.
Our Take On XTB
"XTB emerges as an ideal option for novice traders, offering the impressive xStation platform, zero commission pricing, no required minimum deposit, and outstanding educational resources, many of which are conveniently integrated into the platform."
Pros
- XTB has raised its interest rate on uninvested funds and introduced zero-fee ISAs for UK clients, offering access to 3,000 stocks and 700 ETFs for diverse investment opportunities.
- Top-notch customer support, available 24/5, includes a welcoming live chat with response times under two minutes during tests.
- XTB offers a superb array of educational resources, such as training videos and articles, embedded within the platform to assist traders of all experience levels.
Cons
- Trading fees are competitive, with average EUR/USD spreads of about 1 pip. However, they are not as low as the most affordable brokers, such as IC Markets. Additionally, an inactivity fee applies after a year.
- The demo account lasts only four weeks, posing a challenge for traders wanting to fully explore the xStation platform and refine short-term strategies before investing actual money.
- The research tools at XTB are commendable but have the potential to excel further. Enhancing them with access to top-tier third-party services like Autochartist, Trading Central, and TipRanks would significantly elevate their offering.
Our Take On Interactive Brokers
"Interactive Brokers ranks highly for seasoned traders due to its robust charting platforms, live data, and bespoke layouts via the new IBKR Desktop app. Its competitive pricing and sophisticated order choices appeal to traders, and its wide equity options are industry-leading."
Pros
- IBKR offers an economical environment for traders, featuring low commissions, narrow spreads, and a clear fee structure.
- The new IBKR Desktop platform combines the top features of TWS with customised tools such as Option Lattice and MultiSort Screeners, providing an impressive trading experience for traders of all skill levels.
- The TWS platform is tailored for intermediate and advanced traders, featuring over 100 order types and a dependable real-time market data feed with exceptional uptime.
Cons
- IBKR offers a variety of research tools, but their inconsistent placement across trading platforms and the 'Account Management' webpage creates a confusing experience for users.
- You are limited to a single active session per account, meaning you cannot use both your desktop programme and mobile app at the same time. This restriction can occasionally lead to a frustrating experience for traders.
- The learning curve for TWS is quite steep, making it tough for novice traders to navigate and grasp all its features. In contrast, Plus500's web platform is far more accessible for those new to trading.
Our Take On Fusion Markets
"Fusion Markets offers forex traders competitive pricing with minimal spreads, low commissions, and new TradingView integration. It is an excellent choice, especially for Australian traders, given its base and regulation by ASIC."
Pros
- The selection of charting platforms and social trading features is outstanding. Options like MT4, MT5, cTrader, and the newer TradingView meet diverse trader preferences.
- The market analysis tools, Market Buzz and Analyst Views, are excellent for identifying opportunities and are seamlessly incorporated into the client dashboard.
- Fusion Markets provides exceptional support, characterised by rapid, friendly, and efficient responses. Unlike other platforms, it doesn't utilise automated chatbots, ensuring traders experience a seamless interaction.
Cons
- Fusion Market falls short compared to competitors like IG in education, offering few guides and live video sessions for enhancing trader skills.
- The broker stands out with its extensive selection of currency pairs, surpassing most competitors. However, its alternative investment options are merely average, lacking stock CFDs outside the US.
- The demo account, lasting only 30 days, is limited in its effectiveness as a trading tool when used with a live account.
Our Take On Trade Nation
"Trade Nation is ideal for novice traders seeking diverse markets on an easy-to-use platform. It offers no minimum deposit, complimentary funding options, and robust educational resources."
Pros
- The trading firm provides narrow spreads and a clear pricing structure.
- Access a comprehensive selection of investments through leveraged CFDs, enabling both long and short strategies.
- Beginners benefit from a modest initial deposit.
Cons
- Reduced legal safeguards with an offshore entity.
Our Take On BlackBull Markets
"Following the upgrade to Equinix servers in New York, London, and Tokyo, BlackBull has reduced latency, making it a clear choice for stock CFD trading using ECN pricing."
Pros
- After collaborating with ZuluTrade and Myfxbook, upgrading its CopyTrader, and activating cTrader Copy, BlackBull provides an exceptionally thorough trading experience.
- BlackBull provides everything a trader needs: execution speeds under 100ms, leverage as high as 1:500, and competitive spreads starting at 0.0 pips.
- BlackBull provides three ECN-powered accounts—Standard, Prime, and Institutional—to cater to traders of all experience levels, from novices to seasoned professionals. The variety of account types allows for flexible options tailored to individual trading needs and available capital.
Cons
- Despite enhancements such as webinars and tutorials in the Education Hub, our review indicates that the courses still require greater emphasis on elucidating broader economic factors affecting prices.
- BlackBull does not offer its own trading platform, instead utilising MetaTrader, cTrader, and TradingView. Although these platforms are highly regarded, some brokers, such as eToro, provide proprietary platforms with distinct features that cater well to novice traders.
- Despite an expanding range of over 26,000 assets, including new additions to Asia Pacific indices, their offerings are primarily equities. The selection of currency pairs and indices remains average.
Our Take On IG
"IG offers a complete package with an intuitive online platform, top-tier beginner education, advanced charting tools through its TradingView integration, real-time data, and swift execution for seasoned traders."
Pros
- The web-based platform supports traders at every level, offering advanced charting tools and real-time market data vital for trading. Additionally, IG now includes TradingView integration.
- As a seasoned broker, IG adheres to stringent regulatory standards across various regions, ensuring significant trust.
- The IG app provides an excellent mobile trading experience with an intuitive design, earning it the Runner Up position in our 'Best Trading App' award.
Cons
- In the UK and EU, negative balance protection is available. However, US clients lack account protection and guaranteed stop losses.
- IG imposes a monthly inactivity fee of $12 after two years, discouraging occasional traders.
- Beginners may find IG's fees complicated, as they vary depending on the trades or services. This could cause confusion and unexpected costs.
Aluminium Trading Basics
Aluminium trading involves speculating on the price of the metal online. It is traded on various exchanges, including the London Metal Exchange (LME) and users can trade it through various means, such as investing in stocks in mining companies, ETFs, CFDs, and futures.
The global market is dominated by a few key players, including Rio Tinto (Anglo-Australian), Alcoa (US) and Rusal (Russian).
In terms of consumption, China is the key player, accounting for more than 40% of the global supply. Japan, the EU, and the US are the next largest consumers.
History
Aluminium trading dates back to 1825, when Hans Christian Oersted, a Danish physicist, first discovered the metal.
Aluminium was initially considered a precious metal and was more valuable than gold due to the high cost of its production, which involved a complicated extraction process from bauxite ore.
In the late 19th century, technological advancement made it more affordable to produce the metal. This led to increased demand and, by the early 20th century, aluminium had become widely used.
The creation of the London Metal Exchange (LME) in 1877 was a significant milestone in its history. The LME allowed for speculation via aluminium futures contracts, which enabled producers and consumers to hedge against price fluctuations.
Today, aluminium trading is an important part of the global economy.
Price Chart
Factors Influencing Aluminium Prices
- China: As the world’s largest consumer of the industrial metal, demand in China can have a significant impact on prices. A growing Chinese economy in recent decades has pushed up prices of aluminium, but if prosperity wains then the price of the metal may suffer. China primarily uses aluminium for packaging, transportation and electronics.
- Competing Materials: Aluminium plays a key role in the aerospace and automobile industries. However, competition from carbon fibre, for example, is threatening its role in construction. As lighter composite alternatives become more technologically advanced and lower in price, the value of aluminium may take a hit.
- Production Costs: The cost of producing aluminium influences its price. Movement in the price of electricity and oil, in particular, can have a large impact on the price of the metal. Recycled aluminium will also be affected by the current price of scrap metal.
- Currency Exchange Rates: As aluminium is traded globally, exchange rates between currencies can significantly impact the price of aluminium. Aluminium is quoted in US dollars, so producers bank more dollars when the dollar is weak and vice versa.
- Economic & Political Factors: Economic factors such as GDP, inflation and interest rates can impact the price of the commodity. Political factors such as trade policies and geopolitical tensions can also affect its value. For example, the pandemic led to a global economic slowdown, which decreased demand for aluminium as industries scaled back their production. At the same time, political tensions between the US and China led to tariffs on aluminium imports, which disrupted the global supply chain. As a result, prices fell sharply in the first half of 2020.
- Environmental Regulations: Environmental regulations like carbon taxes and emission standards can ramp up the costs involved in producing and exporting aluminium, subsequently influencing its price on the markets. For example, the European Union’s Emissions Trading System (ETS), a cap-and-trade system that sets a limit on the amount of greenhouse gas emissions that can be emitted by certain industries in the EU, has increased production costs, affecting the global supply chain and influencing market demand for aluminium products.
How To Invest In Aluminium
- Futures Contracts: Aluminium futures allow traders to speculate on the price of the commodity at a future date. These contracts are sold on exchanges such as the London Metal Exchange (LME) and the Shanghai Futures Exchange (SHFE) but can be accessed through some popular online brokers.
- Contracts For Difference (CFDs): These leveraged derivatives allow traders to bet on rising and falling aluminium prices. CFDs are particularly popular with short-term traders and are widely available at UK brokers.
- Mining Companies: Investing in the stocks of mining companies that produce aluminium is another way to gain exposure to the metal. This can be done by buying shares of companies such as Rio Tinto, Alcoa, Rusal, Arconic, and Century Aluminium.
- Exchange-Traded Funds (ETFs): Aluminium ETFs allow investors to trade the metal much like one would a stock. These funds track the performance of the aluminium market alongside other assets and can provide diversification to portfolios. Popular products include the WisdomTree Aluminium ETF.
- Bullion: Aluminium can also be bought in its purest form, i.e the metal itself. It is typically sold in parts, coins and cans. The downside of this approach is transportation and storage costs.
Advantages Of Aluminium Trading
- Diversification: Investing in aluminium provides an opportunity to diversify away from products like stocks and bonds. It can also provide a hedge against inflation and currency risk.
- High Liquidity: The aluminium market is highly liquid, meaning that investors can buy and sell aluminium easily and quickly, often with low transaction costs.
- Potential For Returns: The aluminium market can be volatile, with prices fluctuating based on a range of factors. This can provide potential opportunities to make a yield.
- Growing Demand: Aluminium is widely used in various industries, including construction, aerospace and packaging. As the global economy grows, the demand for aluminium is also likely to increase. In particular, trading aluminium is a way to bet on growing Chinese demand.
- Flexibility: There are several ways to profit from changes in aluminium’s value, including futures, CFDs, ETFs and targeted stock trading.
Disadvantages of Aluminium Trading
- Supply And Demand Imbalance: Recent years have seen an overproduction of commodities in China, including aluminium. This excess supply can negatively hit prices.
- Currency Risk: A rising US dollar is normally bad news for commodity prices, including aluminium. Investors may see their holdings fall if the dollar strengthens.
- Market Volatility: As with many commodities, the aluminium market can be highly volatile, resulting in substantial losses for those that do not manage risk effectively.
- Geopolitical Risks: Political instability, trade policies and other geopolitical factors can impact the value of aluminium products, leading to possible losses.
Comparing Aluminium Brokers
Access To Aluminium Markets
Check whether the broker offers access to aluminium markets, whether that be futures from the London Metal Exchange (LME) or the Shanghai Futures Exchange (SHFE). Some aluminium brokers may also offer access to regional metal markets, such as the Dubai Mercantile Exchange (DME) or the Multi Commodity Exchange (MCX) in India.
Also check for the trading products offered, from direct share dealing to ETFs, CFDs, futures and options.
Spreads & Fees
The best aluminium brokers offer low and transparent trading fees. Pepperstone, for instance, has a minimum spread of 3.3000 on aluminium while the average spread is 4.9270.
Regulation
Investing through brokers that are regulated by the Financial Conduct Authority (FCA) will provide the best protection against scams, fraud or malpractice.
For example, eToro is a popular broker that offers aluminium trading to UK traders and is regulated by the FCA.
Trading Platforms
Consider the trading platforms offered by aluminium brokers as these will be used for any technical analysis and position management. Look for real-time market data, built-in automation sections, one-click trading and interface customisation.
For example, Fusion markets, offers popular third-party platforms like MetaTrader 4 and MetaTrader 5.
Risk Management Tools
Check whether the company offers risk management tools like stop-loss orders and take-profit orders. These can help manage risk exposure and minimise potential losses from significant aluminium market events.
For example, you can set a stop-loss at a certain price level to automatically close your position if the market moves against you.
Educational Resources
Consider the educational resources offered by the broker, such as aluminium market analysis, news updates, and educational webinars. These resources can help traders stay informed about the market and make informed trading decisions. Some brokers offer daily market analysis reports, strategy tips, and webinars hosted by industry experts.
Aluminium Trading Hours
The opening hours for aluminium depend on the market on which the products in question are traded. The two major markets for aluminium trading are the London Metal Exchange (LME) and the Shanghai Futures Exchange (SHFE).
The LME is the world’s largest metal exchange and offers investing via aluminium futures and options contracts. The LME aluminium opening hours are Monday to Friday, 01:00 to 19:00 GMT with a lunch break between 12:30 and 13:25 GMT. The LME also offers pre-market and post-market (extended hours) trading sessions for aluminium futures contracts, which run from 20:00 to 01:00 GMT and from 19:00 to 20:00 GMT, respectively.
The SHFE is the largest futures exchange in China and offers investing in aluminium futures contracts. The SHFE trading hours for aluminium are Monday to Friday, from 09:00 to 15:00 CST, with a break from 11:30 to 13:30 CST.
Bottom Line On Aluminium Trading
As one of the most widely used metals, aluminium has a strong demand from various industries, making it a popular commodity for financial speculation. However, this does come with its own set of risks, including market volatility, currency risk and threats from alternative materials.
Our list of top aluminium brokers can help prospective speculators get started.
FAQ
What Influences The Price Of Aluminium?
The value of aluminium is impacted by a variety of factors, including Chinese demand, production costs, construction and transportation demand, and the strength of the US dollar. For example, if there is an increase in demand for aluminium due to growth in the automotive industry, the price of the commodity may rise. Conversely, if there is an oversupply of the metal in the market from China, the price may fall.
How Do I Choose An Aluminium Broker?
When comparing aluminium brokers, it is important to consider fees, trading platform features, customer support and UK regulatory status. You should also research the broker’s reputation and read reviews. Popular aluminium brokers include Plus500, eToro and IG Index.
What Are The Benefits Of Aluminium Futures Contracts?
Trading aluminium futures contracts allow you to take advantage of price movements in the metal market without having to own kilograms of physical aluminium. Futures contracts also offer leverage, which can amplify gains (or losses) on a smaller initial investment. In addition, they are a popular hedging tool.
Are There Risks Associated With Aluminium Trading?
Like all forms of speculation, aluminium trading comes with risks, especially in the face of market volatility and unexpected geopolitical events. Traders should carefully consider their risk tolerance and financial goals before engaging in any online investing activity.
Article Sources
Aluminium futures and options – CME Group