Significant Inventory Pressure Continued to Cap Zinc Prices on the Upside [SMM Zinc Brief Review]

Published: Mar 17, 2026 16:27

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[Heavy Inventory Pressure Continues to Cap Zinc Prices on the Upside] The most-traded SHFE zinc 2605 contract opened at 23,915 yuan/mt. In early trading, as bears reduced positions, SHFE zinc gradually rose to above the daily average line and touched a high of 24,055 yuan/mt. Later, as bears added positions, SHFE zinc gradually fell below the daily average line and hit a low of 23,720 yuan/mt, finally closing down at 23,730 yuan/mt.....

SMM News, March 17: The most-traded SHFE zinc 2605 contract opened at 23,915 yuan/mt. In early trading, bears reduced open interest, and SHFE zinc gradually rose to above the daily average line, hitting a high of 24,055 yuan/mt. Subsequently, bears increased open interest, and SHFE zinc gradually fell to below the daily average line, touching a low of 23,720 yuan/mt. It finally closed lower at 23,730 yuan/mt, down 180 yuan/mt, or 0.75. Trading volume increased to 41,320 lots, and open interest increased by 4,985 lots to 80,471 lots. SHFE zinc recorded a bearish candlestick, with the 10-day and 40-day moving averages above forming resistance. Currently, zinc ingot inventory in China continues to build up, and heavy inventory pressure is suppressing the rise in zinc prices. Downstream consumption showed a mediocre performance, and coupled with regional geopolitical tensions, the center of SHFE zinc continued to move lower.

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