Guangdong Zinc: Futures Center Pulls Back, Guangdong Premiums Rise [SMM Midday Review]

SMM October 9: Guangdong 0# zinc traded mainly at 25,695-25,970 yuan/mt, with mainstream brands quoted at a discount of 20 yuan/mt to a premium of 10 yuan/mt against the 2611 contract, and at a discount of 20 yuan/mt against Shanghai spot cargo. The Shanghai-Guangdong price spread widened. Suppliers quoted discounts of 20 yuan/mt to premiums of 10 yuan/mt for brands such as Qilin, Mengzi, Anning, and Lan zinc. Refined zinc purchase willingness in Guangdong was 1.95, and sales sentiment was 2.65. The pullback in futures drove moderate restocking by downstream buyers in Guangdong, but some end-users showed weak purchase willingness and continued to digest inventories. Most traders quoted the same prices as yesterday, while a small number raised premiums. Combined with some downstream purchases today, this pushed Guangdong premiums to edge up slightly.