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Wider contango helps spur Rotterdam duty-unpaid premium higher
Premiums throughout Europe were higher on Tuesday July 23 after wider contangos in LME spreads spurred bullish sentiment throughout the region.
Fastmarkets assessed the aluminium P1020A premium, in-whs dup Rotterdam, at $95-105 per tonne on Tuesday, up by $5 per tonne from $90-100 per tonne the day before. The premium had been steady at the previous range since May 31.
The premium is now at its highest since June 2018.
Partially driving the Rotterdam premium were the widening contangos on nearby and further forward spreads on the LME. The benchmark cash/three-month spread was at a $27.50-per-tonne contango on Tuesday, widening from a contango of $18.50 per tonne last week.
Further forward spreads which were potential...