Zinc Inventories Diverged between SHFE and LME, with LME Zinc Stocks Hitting a Two-Year Low

According to data released by the London Metal Exchange (LME), LME zinc inventory continued to fall last week, with the latest stock at 84,700 mt, a new low of more than two years.

According to SHFE data, SHFE zinc inventory moved rangebound within three months. The inventory rebounded in the week of May 27, with weekly stocks increasing by 2.59% to 170,850 mt.

Note: In general, declining stocks in SHFE and LME will be supportive of futures prices, and conversely, bearish.