INTELLIGENCE REPORT
BUYER: DEFENSIVE

Aluminum Intelligence Report

July 6, 2026 · Intelligence Report · Aluminum (LME / COMEX / SHFE)

Market diagnosis: Aluminum continues to correct from June peaks as the ceasefire-driven risk premium unwinds, with LME cash falling to $3,080/mt — the lowest since March and 18% below the June 2 peak of $3,752. The front of the curve is in contango (-$7/mt cash-3M) for the second consecutive week. Yet the structural deficit remains intact: Wood Mackenzie estimates a 720kt global shortfall for 2026, LME stocks at 298,775t are down 38% YTD, and Gulf smelter restorations (EGA Al Taweelah, Alba) will take 12+ months. The price correction reflects macro-driven paper liquidation overwhelming tight physical fundamentals — a divergence that historically favors the underlying deficit. Procurement teams should watch $3,000-3,100/mt as a potential entry zone for 3-6 month forward layers.

LME Cash
$3,080
$/mt · July 6, 2026
LME 3M
$3,087
$/mt · Contango $7
COMEX
$3,415.8
$/mt · +0.94% daily
SHFE
CNY 24,530
CNY/mt · +1.11%
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Price data from LME, COMEX & SHFE settlement · Full report includes 17 sections with charts, decision matrix, and scenario framework.