LME price reaches fresh 42-month highs; Trump terminates Canada trade negotiations after “fake” ad

SPECIAL ALERT! – US SECTION 232.
 

1. LME price reaches fresh highs as the market targets the $3,000–3,300 per mton zone.

LME 3M aluminum prices rose to a new 42-month intraday high of $… per mton, before closing the session at $… per mton, up $… per mton or… % from Friday. Prices extended their October rally…

2. SPECIAL ALERT! – US SECTION 232. NO DEAL: Trump terminates trade negotiations with Canada after “fake” ad.

Fall off in US-Canada trade negotiations dilutes the probability of an aluminum Tariff deal. As a result, HARBOR has downgraded the odds of a scenario where the US grants a preferential aluminum Section 232 Tariff to Canada to… % (from… % previously). HARBOR expects the US MW P1020 Duty-Paid Spot Premium to mainly trade within an… cent/lb range over the next twelve months if the status quo remains.

3. RERUN: ALERT! – EUROPEAN BILLET. BULLISH PRESSURE BUILDS UP: Icelandic smelter disruption joins the bullish “choir”.

To see our full European Billet Market Intel and Premiums assessment, subscribe to HARBOR’s specialized “European Billet Intelligence” reports.

4. The LME Cash-3M backwardation persists, nearby short squeeze continues.

The Cash-3M backwardation opened the week widening marginally to $… per mton, from $… per mton on Friday. The Cash-November backwardation eased further to…

5. China’s aluminum prices attempting to consolidate at HARBOR’s target zone.

SHFE front-month aluminum prices closed today’s session up 0.2% at… yuan per mton ($… per mton, ex-VAT), a new eleven-month closing high after trading as high as… yuan per mton ($… per mton, ex-VAT). Prices increased amid…

 

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