LME price rallies further; Cash-3M backwardation returns; European P1020 premium up

ALERT! – EUROPE P1020.
 

1. LME prices are up 3% so far this week, targeting the predominant $… per mton zone. HARBOR has upgraded its LME price forecasts.

LME 3M aluminum prices closed the session up 0.4% or $10 per mton, at $… per mton. Aluminum prices held within a narrow trading range of $… per mton, sustaining yesterday’s gains amid de-escalation of US-China trade tensions and today’s softer-than-expected US inflation data for April. Indeed, LME 3M prices reached…

2. LME Cash-3M spread at the tightest back in seven weeks (bearish P1020 premiums).

The Cash-3M spread tightened to a backwardation of $… per mton from yesterday’s seven-week low contango $… per mton. Nearby tightness is concentrated around…

3. ALERT! – EUROPE P1020. EMERGING SUPPORT: Europe premiums up marginally for the first time in 4 months.

Europe’s P1020 duty-paid premiums found support in shipment delays and scrap tightness. However, drivers remain bearish amid improved availability ahead and still plunging container prices.

4. China’s aluminum prices climb to five-week highs, testing technical resistance.

SHFE front-month aluminum prices closed today’s session up 1.1% at… yuan per mton ($…per mton, ex VAT), rising further in after-hours to a fresh five-week intraday high of… yuan per mton (… per mton, ex VAT). Prices continued to…

 

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