Tianjin Zinc: Futures Market Slight Rebound, Low Downstream Purchase Willingness [SMM Midday Review]

SMM January 16 News: In the Tianjin market, mainstream transactions of 0# zinc ingot were concluded at 24,050-24,370 yuan/mt, Zijin transactions at 24,020-24,410 yuan/mt, and 1# zinc ingot at around 23,460-23,840 yuan/mt. Huludao was quoted at 27,490 yuan/mt. The premium for 0# zinc ordinary against the 2502 contract was 360-420 yuan/mt, while Zijin was quoted at a premium of 430-450 yuan/mt against the 2502 contract. The Tianjin market had a discount of 30 yuan/mt compared to the Shanghai market. As of the midday close, New Zijin was quoted at a premium of 360-420 yuan/mt against the 02 contract, Chihong 0# had no quotes against the 02 contract, Xikang delivered was quoted at a premium of 320-330 yuan/mt against the 02 contract, and Bailing was quoted at a premium of 370-430 yuan/mt. High-end brand Zijin was quoted at a premium of 430-450 yuan/mt against the 02 contract. The Tianjin spot-futures price spread was 360 yuan/mt. The futures market rebounded today, but downstream purchasing sentiment was low, with a bearish outlook on the futures market. Tianjin spot cargoes were limited, as most downstream buyers had entered the holiday mode, focusing on locked-in prices. Traders lowered premiums to facilitate sales, resulting in moderate overall transactions.