The fundamental situation has not significantly changed, and SHFE zinc recorded a positive candlestick. [SMM Morning Comment]

Overnight, Trump announced a 25% tariff on all imported cars, stating that the reciprocal tariff plan would be "lenient." US Fed's Kashkari noted that more work is needed to reduce inflation, and the job market remains strong. US Treasury Secretary Besant mentioned that an economic agreement with Ukraine could be signed next week. The Kremlin stated that Putin's order to suspend energy strikes remains effective. He Lifeng held a video call with US Trade Representative Greer. The president of Bank of China stated that the credit coverage rate of the "Hangzhou Six Dragons" ranks first among all financial institutions.

Overnight, LME zinc opened at $2,966/mt, initially reaching a high of $2,974/mt, then slightly declined below the daily average line before recovering the losses. During the European trading session, longs reduced positions, causing LME zinc to continuously drop to a low of $2,934/mt. However, entering the night session, LME zinc rebounded and fluctuated near the daily average line, eventually closing down at $2,952/mt, a decrease of $16.5/mt, or 0.56%. Trading volume decreased to 70,105 lots, while open interest decreased by 457 lots to 226,000. On March 26, LME zinc inventory decreased by 3,650 mt to 146,575 mt, a drop of 2.43%. Overnight, LME zinc recorded a bearish candle, with the upper Bollinger Band forming resistance and the 20/60-day moving averages providing support. Sources indicated that Trump is prepared to announce the car tariffs as early as this Wednesday local time. The US dollar index rose, suppressing LME zinc's performance.

Overnight, the most-traded SHFE zinc 2505 contract opened at 24,085 yuan/mt. Initially, longs reduced positions, causing SHFE zinc to quickly drop to a low of 24,045 yuan/mt. Subsequently, shorts reduced positions, and SHFE zinc rose above the daily average line, with the center fluctuating around 24,150 yuan/mt, eventually closing at 24,155 yuan/mt, with a % change of 0%. Trading volume decreased to 64,751 lots, while open interest decreased by 1,904 lots to 123,000. Overnight, SHFE zinc recorded a bullish candle, with the upper Bollinger Band forming resistance and the 10/60-day moving averages providing support. Domestic supply is expected to continue to ease, and downstream consumption is anticipated to gradually return to normal. Zinc prices may maintain a fluctuating trend in the short term.