Diverging cycles
Uttam Kumar Srimal, senior research analyst, Axis Securities, explained that aluminium is globally traded and highly sensitive to energy costs (power, fuel) and geopolitical supply disruptions, which lift prices and spreads. Cement, by contrast, is a domestic, demand-driven commodity where fuel cost inflation compresses margins if price hikes lag. So, Srimal said, rising fuel or geopolitical stress tends to benefit aluminium but adversely affect cement, creating an inverse trend.
