RUSAL (00486) saw its stock price soar by 13.13% during intraday trading on Wednesday, as investors reacted to news of potential diplomatic developments between the United States and Russia, as well as the company's strong position in the global aluminum market.
The surge in RUSAL's stock price comes amid reports that U.S. President Trump has not ruled out a meeting with Russian President Putin, raising hopes for improved US-Russia relations. Trump also expressed optimism about the possibility of a ceasefire between Ukraine and Russia, which could have positive implications for Russian businesses like RUSAL.
Adding to investor enthusiasm is RUSAL's significant role in the global aluminum industry. As reported by Kaiyuan Securities, Russia is the world's third-largest raw aluminum producer, with RUSAL being a major contributor. The company produced 3.847 million tons of raw aluminum in 2023 and is expected to reach 3.9 million tons in 2024, accounting for 5% of global aluminum output. With the United States being the second-largest aluminum consumer globally, the potential resumption of exports could provide RUSAL with stable orders and improved market access.