Tianjin Premiums Remain Stable; Contract Rollover Quotes This Week [SMM Tianjin Zinc Spot Weekly Review]

SMM Jul. 31 News: Spot premiums in Tianjin were largely stable with slight movements this week. As of this Friday, domestic mainstream brands were reported at a discount of yuan 60-120/mt against the 2609 contract, high-end brands were near parity against the 2609 contract, and the Tianjin market was at a discount of around yuan 100/mt against the Shanghai market. The Shanghai-Tianjin price spread widened, with quotations based on contract rollover this week. Zinc prices consolidated at highs during the week and surged at the week's end. End-use consumption remained poor, and downstream users showed strong wait-and-see sentiment, cautious about buying at elevated prices and mainly consuming inventories. Combined with the start of deliveries by large smelters for long-term contracts, pricing sentiment was low. At month-end, traders' shipments were limited, and overall premiums were largely stable. Consumption in Tianjin remained sluggish, with spot premiums expected to stay subdued next week.