Zinc Ingot Social Inventory Continued to Decline, SHFE Zinc Rose in Night Session [SMM Zinc Morning Comment]

SMM April 25 News:

Overnight, LME zinc opened at $2,639/mt. After opening, it fluctuated rangebound around the daily average line, hitting a low of $2,639/mt, then began to fluctuate upward, reaching a high of $2,709.5/mt near the end of the session, and finally closed up at $2,705/mt, up $69.5/mt, a gain of 2.64%. Trading volume decreased to 10,223 lots, while open interest increased by 2,458 lots to 204,000 lots. Overnight, LME zinc recorded a bullish candlestick, with support from the 10-day moving average. The US Fed's remarks heightened market expectations for an interest rate cut, leading to a softening of the US dollar index. LME inventory continued to decline, and the center of LME zinc continued to move upward.

Overnight, the most-traded SHFE zinc 2506 contract opened at 22,630 yuan/mt. After opening, it briefly fluctuated, hitting a low of 22,550 yuan/mt, then rose steadily, reaching a high of 22,910 yuan/mt near the end of the session, and finally closed up at 22,865 yuan/mt, up 275 yuan/mt, a gain of 1.22%. Trading volume increased to 106,000 lots, while open interest increased by 2,269 lots to 127,000 lots. Overnight, SHFE zinc recorded a bullish candlestick, with support from the 5-day moving average. On Thursday, SMM zinc inventory decreased by 7,200 mt MoM to 85,800 mt. The pre-holiday reduction in zinc ingot inventory continued, with low inventory persistently supporting zinc prices. During the night session, SHFE zinc continued to rise.