Aluminum jumped 9.4%, its highest level since the current form of the contract was launched in 1987 on the LME, while nickel rose 8.8%.
The rises come after the London Metal Exchange banned Russian metals from its system on Saturday to comply with new sanctions from the United States and the United Kingdom.
Copper was also banned, it is up 1.2% but remains near its highest level in 22 months. Russia produces a smaller portion of the world’s copper supply.
Russia accounts for about 6% of the world’s nickel supply, 5% of aluminum and 4% of copper. These metals will continue to find their way into the global supply, but this may be difficult as supply chains are reoriented. However, LME warehouses currently hold 90% of Russian-sourced aluminum, so a near-term hit is likely.
Aluminum pared its gain to 5% but is trading at its best levels in more than a year.
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