With the LME nearby spreads in backwardation during trading hours in London on Monday, August 14, the seller-buyer gap in Japan’s aluminium import market widened yesterday, reported market sources.
August 15 was the deadline for declaring the shipping September cargoes and there were few buyers who were seeking spot supplies. Two international traders said they had information about a seller making offers at US$70-$75 per tonne CIF Japan. The seller could be a trading house with aluminium stocks.
{alcircleadd}Cash-August spread was US$4 per tonne in backwardation during Asian trading hours Tuesday, compared to flat Monday. Cash-September was US$15 per tonne in backwardation Tuesday, widening from a US$4 per tonne backwardation Monday, reported Hellenic Shipping News.
Meanwhile, a producer said his indicative offers were US$90-$100 per tonne CIF Japan for September cargo. Other producers reported Monday deals into Oman at around $100 per tonne CIF.
Spot Japanese import premium was recorded at US$75-$76 per tonne plus LME cash, CIF Japan, on Tuesday, August 15, S&P Global Platts assessed.
According to another update by trading house Marubeni Corp, aluminium stocks at three major Japanese ports- Yokohama, Nagoya, and Osaka, rose to 268,000 tonnes by July end, up three per cent from the previous month.
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