SHFE zinc opened higher with a gap in the night session, boosted by LME [SMM Zinc Morning Comment]

Published: Oct 12, 2026 08:55 (GMT+8)

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[SMM Zinc Morning Comment: SHFE Zinc Opens Higher with a Gap in Night Session Boosted by LME] Last Friday, the most-traded SHFE zinc 2611 contract opened at 26,080 yuan/mt. After the open, SHFE zinc continued to consolidate at highs, dipping to a low of 26,040 yuan/mt in early trading and touching a high of 26,215 yuan/mt near the close, ultimately closing up at 26,210 yuan/mt, up 280 yuan/mt, or 1.08%. Trading volume decreased to 50,372 lots, and open interest fell by 1,658 lots to 106,000 lots.

SMM, October 12:

Last Friday, LME zinc opened at $3,718/mt. After the open, LME zinc rose throughout the session, dipping to a low of $3,710/mt in early trading and touching a high of $3,811.5/mt near the close, ultimately settling up at $3,801.5/mt, up $91.5/mt, or 2.47%. Trading volume decreased to 13,406 lots, and open interest fell by 2,778 lots to 255,000 lots. Last Friday, LME zinc formed a bullish candlestick, with support from the lower Bollinger Band. LME inventory continued to consolidate, and the 0-3 backwardation structure widened slightly again from low levels, providing some support to zinc prices. Bears reduced positions, and LME zinc rebounded notably from lows. Short-term consolidation is expected to persist.

Last Friday, the most-traded SHFE zinc 2611 contract opened at 26,080 yuan/mt. After the open, SHFE zinc continued to consolidate at highs, dipping to a low of 26,040 yuan/mt in early trading and touching a high of 26,215 yuan/mt near the close, ultimately settling up at 26,210 yuan/mt, up 280 yuan/mt, or 1.08%. Trading volume decreased to 50,372 lots, and open interest fell by 1,658 lots to 106,000 lots. Last Friday, SHFE zinc formed a bullish candlestick, with support from the 5-day moving average below. Driven by the rebound in the LME market, SHFE zinc opened higher with a gap in the night session. On the fundamentals side, smelters showed relatively weak production enthusiasm due to profit pressures, while downstream consumption remained mediocre. Bulls and bears continued to wrestle, and continued consolidation is expected.

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Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

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