US and Chinese manufacturing data pick up, LME zinc stabilizes [SMM zinc morning comment]

Overnight, gold continued to hit a new all-time high; a hawk in the Federal Reserve: expected to cut interest rates three times this year, and does not rule out a rate cut in June ; Iran's supreme leader vowed: Israel will be punished for its attack on Syria; Ukraine attacked one of Russia's largest oil refinery again on Tuesday; Mexico will cut crude oil exports by as much as 436,000 barrels per day; President Xi Jinping had a phone call with U.S. President Biden, and China welcomes Treasury Secretary Yellen and Secretary of State Blinken to visit China in the near future; Ministry of Finance: In the first two months of this year, 575.9 billion yuan of new local government bonds were issued nationwide; Shenzhen Public Security: Those who trade gold and other precious metals with a daily total of more than 20,000 yuan should register with their real names; Huawei plans to distribute dividends of 77.095 billion yuan to shareholders Yuan

Overnight, LME zinc opened at US$ 2,459 /ton and fell to as low as US$ 2,447/ton. During European trading hours, bulls increased their positions, and LME zinc quickly rose to a high of US$ 2,521.5 /ton, and finally closed up at US$ 2,478.5 /ton, up 41.5 US dollars/ton, or 1.07%. Trading volume increased to 16,411 lots, and open interest increased by 4,621 lots to 243,000 lots. LME zinc inventory dropped by 350 mt or 0.13% to 270525 mt. The rebound in manufacturing data in the United States and China boosted buying, but the Fed's interest rate cut was less than expected, weighing on LME zinc. LME zinc is expected to stabilize.
Overnight, the most active SHFE 2405 zinc contract opened at 21,230 yuan/ton and reached a high of 21,280 yuan/ton with a low of 21,175 yuan/ton. It finally closed down at 21,190 yuan/ton, down 40 yuan/ton, or 0.16%. The trading volume decreased to 43,213 lots and open interest decreased by 3,051 lots to 87,021 lots. SHFE zinc is expected to fluctuate around 21,000 yuan/ton today.