Midwest aluminum premium down again
Sep 05, 2013 | 04:24 PM
| Michael Cowden
CHICAGO Midwest aluminum premiums slipped again this week on continued skittishness about the potential impact of new London Metal Exchange warehousing rules.
AMMs spot P1020 aluminum premium moved to 10 to 11 cents per pound Sept. 4 from 10.5 to 11 cents previously.
"Its like a long winter storm. The snow keeps coming," one producer source said.
Some market sources worry that premiums will dip into single digits, but others say warehouse financing deals continue to provide support. "Everyone believes its going to go lower. But the contango is still there, so the financing deals are still able to be done off-warehouseand thats somewhat of a floor," one buyer said. "I dont know where that floor is, but its not going to be 5 (cents per pound)."....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.