Guangdong Zinc: Market Trading Atmosphere Weakens, Spot Premiums/Discounts Decline [[SMM Midday Review]]

SMM April 30 report:

       In Guangdong, the mainstream transactions for #0 zinc ingot were concluded at RMB 22,905-23,125/mt. Mainstream brands were quoted at a premium of RMB 450/mt against the 2505 contract and at a premium of RMB 40/mt against spot cargo in Shanghai. The Shanghai-Guangdong price spread narrowed. In the first instance, suppliers quoted premiums of RMB 500-550/mt for Qilin, Mengzi, Huize, and Lanxin brands. In the second instance, influenced by the upcoming Labour Day holiday, downstream purchases decreased, and there were fewer traders offering #0 zinc ingot for sale in the market. Overall, the futures market maintained a fluctuating trend today. The holiday atmosphere was strong in the market, making it difficult for some traders to conclude spot transactions, resulting in a decrease in transaction volume. Amidst weak transactions, spot premiums and discounts declined somewhat.

All members of the SMM Zinc Team wish everyone a happy Labour Day holiday!