Zinc social inventories shrank 11,500 mt on week

SHANGHAI, Mar 26 (SMM) – Zinc inventories in China fell this week.

SMM data showed that social inventories of refined zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei decreased 11,500 mt in the week ended March 26 to 248,000 mt. The stocks fell 8,500 mt from Monday March 22.

Stocks in Shanghai increased due to continuous arrivals and the inflow of import zinc with high output of domestic smelters. In south China's Guangdong, with the decrease of zinc prices, the downstream procurement volume gradually enlarged, which led to the decrease in stocks. Stocks in Tianjin fell sharply as downstream restocking demand increased when zinc prices fell.

Stocks across the three major trading hubs (Shanghai, Tianjin and Guangdong) fell 10,700 mt this week, after a 2,300 mt decrease last week.