NEWSBREAK: LME aluminium cash/Aug spread swings to contango from huge backwardation

The London Metal Exchange’s nearby aluminium spread swung to a contango on the afternoon on Monday July 23 from a backwardation of $55 per tonne earlier.

The cash/August spread traded on electronic platform LME Select at $3 per tonne contango at 17:01 London time.  “The spread swung so quickly - just after 16:00 (London time) the spread was smashed through and fell into a $10 per tonne backwardation and since then it kept tightening,” a Europe-based  trader said. A persistent backwardation has persisted in the aluminium market throughout the summer months,...

Published

Justin Yang

Alice Mason

July 23, 2018

17:29 GMT

London