What’s the price of aluminum right now? That’s the million-dollar question that isn’t always easy to answer.
You see, unlike with other commodities like oil, determining the price of aluminum encompasses more than simply the cost of the raw material. In fact, there are three critical factors that influence the price of that aluminum product you are about to purchase for your next project.
It starts with the cost of the raw material (called ingot). From there you have costs associated with transportation from the warehouse, processing from the mills and more. Naturally these costs fluctuate based on certain macro-economic factors—and there are certain indices to monitor when it comes to these factors (outlined in the graphic below).
But what does it all mean, and what should you expect when tracking the price of aluminum for your next project? The interactive graphic below outlines three factors that influence the price of aluminum.
For more information on how these components impact supply-demand fundamentals in the industry, sign up for The Monthly Market Report from The Gauge.