Tianjin Zinc: Futures Rally, Downstream Cautious on High Prices [SMM Midday Commentary]

SMM July 10 news: In the Tianjin market, #0 zinc ingot was mainly traded at 24,420-24,910 yuan/mt, Zijin at 24,540-24,970 yuan/mt, and #1 zinc ingot around 24,430-24,860 yuan/mt. Zijin was quoted at a discount of 0-10 yuan/mt against the 2608 contract, Huxin at 26,010 yuan/mt, and #0 zinc ingot at a discount of 60-130 yuan/mt against the 2608 contract. The Tianjin market was at a discount of about 50 yuan/mt against the Shanghai market. As of the end of the daytime session, the high-grade brand Zijin was quoted at a discount of 0-10 yuan/mt against the 2608 contract, and Chihong at a discount of 70 yuan/mt. Refined zinc purchasing sentiment in Tianjin was 1.77, and shipment sentiment was 2.51. Futures surged today, prompting downstream users to shy away from high prices and turn cautious, with limited buying interest. Traders' offer premiums edged down, and trading was predominantly among traders. Overall, market transactions were weak.