Thursday, 10 September 2015

Outlook For Alcoa's Primary Aluminum Business


Value, macro, long/short equity
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Summary

Aluminum production has been holding up despite a sluggish price environment.
Due to a slowing economy, China's domestic aluminum demand has been outstripped by supply which is partly the cause of a substantial quantity of aluminum being exported.
Surplus output since 2013 may hinder a recovery in prices in the foreseeable future.
Alcoa's (NYSE:AA) share price has tumbled over 40% from a year ago.
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