Fundamentals Show Weakness on Both Supply and Demand Sides, SHFE Zinc Maintains Fluctuating Trend [SMM Zinc Futures Brief Review]

Published: Feb 3, 2026 18:09

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[Supply and Demand Both Weak in Fundamentals, SHFE Zinc Maintains Fluctuating Trend]: The most-traded SHFE zinc 2603 contract opened at 24,950 yuan/mt, initially rose to a high of 25,240 yuan/mt, then pulled back below the daily average line, touched a low of 24,735 yuan/mt during the session, and subsequently rebounded again, finally closing up at 24,960 yuan/mt, an increase of 70 yuan/mt.

SMM Feb. 3:

The most-traded SHFE zinc contract opened at 24,950 yuan/mt, climbed to a high of 25,240 yuan/mt in early trading, then pulled back below the daily average line, touched a low of 24,735 yuan/mt during the session, and subsequently rose again to close at 24,960 yuan/mt, up 70 yuan/mt or 0.28%. Trading volume fell to 135,000 lots, and open interest dropped by 3,944 lots to 82,291 lots. SHFE zinc formed a bearish candlestick, with support from the 40-day moving average. On the fundamentals side, zinc concentrate TCs remained low, and refined zinc production continued to decline in February. However, downstream consumers gradually entered holidays, leading to continued weak supply and demand fundamentals. Coupled with position reductions by bears, SHFE zinc maintained a fluctuating trend during the day.

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