Tianjin Zinc: Market Supply Eases, Premiums Continue to Decline [SMM Midday Review]

SMM, January 2: In the Tianjin market, mainstream transactions of 0# zinc ingot were at 25,750-26,000 yuan/mt, Zijin traded at 25,820-26,070 yuan/mt, and 1# zinc ingot traded around 25,330-25,540 yuan/mt. Huludao was quoted at 29,220 yuan/mt. The premium for 0# zinc over the 2501 contract was around 320-380 yuan/mt, while Zijin's premium over the 2501 contract was around 370-420 yuan/mt. The Tianjin market was at a discount of 20 yuan/mt compared to the Shanghai market. By the close of the morning session, Xinzi's premium over the 01 contract was 300-350 yuan/mt, Chihong's premium over the 01 contract was reported at 300-350 yuan/mt, while Xikuang and Bailing had no quotes for the 01 contract. High-priced brand Zijin's premium over the 01 contract was around 370-420 yuan/mt. The futures market dropped back slightly, market supply increased, downstream maintained a wait-and-see sentiment with limited purchases, and traders reduced premiums and discounts to facilitate sales. Overall market transactions were moderate.