European foundry and billet premiums jump; SHFE and LME prices down amid record Chinese aluminum production

1. LME prices down on Friday but still above $... per mton. Levels above $... per mton zone continue to appear difficult to sustain at this point.

2. CHINA ALUMINUM ALERT. CHINESE EXPANSIONS ACCELERATE: Contrary to rumors, China’s production up to record high.

3. SHFE aluminum prices fall after nearing decade highs.

4. EUROPE PFA ALERT. PULLED HIGHER: Spot PFA premiums increase further, even as auto semiconductor shortage lingers.

5. EUROPEAN BILLET UPDATE. SPOT REACHES $900 PER MTON: Q3 contracts closed also as high as $... per mton. To see our full European Billet Market Intel and Premiums assessment, please subscribe to our specialized European Billet Intelligence Report.

6. LME April–May spread tightens to backwardation, while the far end of the curve continues to be dominated by producer selling (bearish LME price signal).

More details in full report.