Shanghai Zinc: Trading Market Quotes Firm, Spot Trades Remain Mediocre [SMM Midday Review]

SMM, September 24:

     Today, mainstream transaction prices for #0 zinc were concentrated at 26,775~26,935 yuan/mt, with no transactions for Shuangyan. Mainstream transaction prices for #1 zinc were 26,705~26,865 yuan/mt. In early trading, market quotes against the SMM average price were at premiums of 70~80 yuan/mt, with no quotes against futures. In the second trading session, ordinary domestic brands were quoted at premiums of 70~80 yuan/mt against the 2610 contract, silver was quoted at a premium of 100 yuan/mt against the 2610 contract, and the high-priced Shuangyan brand had no quotes against the 2610 contract. Today, the purchasing sentiment for refined zinc in the Shanghai region was 2.06, and the shipment sentiment was 2.52. In the morning session, zinc prices on the futures market maintained a fluctuating trend. Downstream pre-holiday stockpiling was largely completed, and today purchases were mainly based on inquiries for immediate needs, resulting in generally moderate spot trades. However, with the approach of the two festivals, finding vehicles in the market was relatively difficult, and freight costs continued to rise, driving up the premium prices for some downstream zinc ingot purchases.