Shanghai Zinc: Few traders offering goods in the market, trading inactive [SMM Midday Review]

SMM May 6 News: Today, the mainstream transaction prices for 0# zinc were concentrated in the range of 22,780-22,975 yuan/mt, with Shuangyan zinc trading at 22,960-23,135 yuan/mt, and 1# zinc trading at 22,710-22,905 yuan/mt. In the morning session, the market quoted premiums of 50-60 yuan/mt against the average price, with almost no quotes against the futures market. In the second trading session, the quotes for ordinary domestic zinc were at premiums of 210-220 yuan/mt against the 2505 contract, Honglu-v zinc was quoted at a premium of 220 yuan/mt against the 2505 contract, Huize zinc was quoted at a premium of 600 yuan/mt against the 2506 contract, the high-end brand Shuangyan zinc was quoted at premiums of 330-380 yuan/mt against the 2505 contract, and Haxin zinc was quoted at premiums of 100-130 yuan/mt against the 2505 contract. During the holiday, the arrival of zinc ingots in the Shanghai area was relatively limited. With limited supply, the sentiment to stand firm on quotes among market traders resurged today. However, the futures market maintained a fluctuating trend, failing to reach the psychological price expectations for downstream enterprises to purchase. Additionally, some downstream enterprises reported that they still had some raw material inventory on hand, and overall purchasing was mainly driven by immediate needs, resulting in sluggish spot cargo transactions.