Aluminum jumps by the most since 1987

Aluminum jumped as much as 9.4%, the most since the current form of the contract was launched in 1987 at the LME, while nickel rose as much as 8.8%.

The jumps come after The London Metal Exchange on Saturday banned Russian metals from its system to comply with new sanctions from the US and UK.

Copper was also banned it is up 1.2% though remains near a 22-month high. Russia producers a smaller portion of global copper supply.

Russia accounts for approximately 6% of global nickel supply, 5% of aluminum and 4% of copper. Those metals will still find their way into global supply but it could be bumpy as supply chains are re-orinented. However LME warehouses currently hold 90% of Russian-sourced aluminum so a short-term hit is likely.

Aluminum has pared its gain to 5% but is trading at the best levels in over a year.

This article was written by Adam Button at www.forexlive.com.