Tianjin Zinc: Futures Market Fluctuates at High Levels, Low Purchasing Willingness from Downstream [SMM Midday Review]

SMM, February 19: In the Tianjin market, mainstream transactions of 0# zinc ingots were concluded at 23,840-24,020 yuan/mt, Zijin traded at 23,870-24,040 yuan/mt, and 1# zinc ingots were traded around 23,750-23,910 yuan/mt. Huludao was quoted at 27,300 yuan/mt. Ordinary 0# zinc was quoted at a discount of 40 yuan/mt to a premium of 10 yuan/mt against the 2503 contract, while Zijin was quoted at a premium of 0-20 yuan/mt against the 2503 contract. The Tianjin market was at a discount of around 30 yuan/mt compared to the Shanghai market. As of the midday close, New Zijin was quoted at a discount of 0-20 yuan/mt against the 03 contract, Xikang was quoted on par with the 03 contract, Bailing (delivered) was quoted at 60 yuan/mt against the 03 contract, and high-end brand Zijin was quoted at a premium of 0-20 yuan/mt against the 03 contract. The futures market mainly fluctuated today, with downstream consumption recovering slowly. Overall operating rates were below expectations, purchasing willingness was low, and some traders were eager to sell, reducing premiums to near discounts. Market transactions were moderate.