DOOR OPENS: LME now targeting $… per mton zone

HARBOR FIRST. PROJECT ADVANCES
 

1. LME 3M prices close at a new three-year high above $2,800 per mton after Icelandic smelter outage. Confirmation of break above $2,800 per mton would unleash a new upside target of $… per mton.

LME 3M aluminum prices closed today at a fresh three-year high of $… per mton, up… % or $… per mton from yesterday. Prices climbed to as high as $…

2. ALERT! – DISRUPTION. BULLISH DISRUPTION: Centurysmelter in Iceland suffers disruption, 210k mtpy out.

Century’s Grundartangi smelter suffers electrical equipment failure that halts 210k mtpy of production (bullish LME and European premiums)…

We see a bullish impact on European P1020, PFA and billet premiums.

3. RERUN: SPECIAL ALERT! – US SECTION 232. BREAKING THE NEW TARIFF REGIME? Canada hints at a potential aluminum Tariff deal.

For more details, please see HARBOR’s “ ALERT! – US SECTION 232” released yesterday.

4. UPDATE! – EUROPEAN SCRAP EXPORTS. PRESSURE BUILDING UP: No export restrictions yet, record flows persist.

For more details, subscribe to HARBOR’s specialized “Europe Scrap Intelligence” reports.

5. LME Cash-3M backwardation lingers, nearby short-squeeze continues.

The Cash-3M backwardation widened today to $… per mton, from a two-week low of $… per mton yesterday. While the Cash–November backwardation eased to $… per mton from $…

6. China’s aluminum prices approach technical resistance zone.

SHFE front-month aluminum prices closed today’s session up… % at… yuan per mton ($… per mton, ex-VAT), before extending gains in after-hours trading to… yuan per mton ($… per mton, ex-VAT). Prices climbed in tandem with LME aluminum prices, which hit a new three-year high today, amid…

 

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