Shanghai Zinc: Domestic Imports Under Long-term Contract Arrive, Shanghai Premium Pulls Back [SMM Midday Review]

SMM News on May 9: Today, the mainstream transaction prices for 0# zinc were concentrated in the range of 22,825-22,955 yuan/mt, with Shuangyan zinc trading at 22,895-23,005 yuan/mt, and 1# zinc trading mainly at 22,755-22,885 yuan/mt. In the morning session, spot premiums against the average price were quoted at 100-140 yuan/mt, with almost no quotations against the futures market. In the second trading session, quotations for ordinary domestic zinc ingots against the 2506 contract were at premiums of 580-590 yuan/mt, Honglu-v against the 2506 contract was at a premium of 570 yuan/mt, Huize against the 2506 contract was quoted at a premium of 650 yuan/mt, and the high-end brand Shuangyan against the 2506 contract was quoted at a premium of 640 yuan/mt. Today, long-term contract shipments of Qilin and Qinzin zinc ingots arrived, and imported zinc ingots continued to flow into the market at low prices. With the increase in market supply, traders lowered their spot premium quotations. However, the futures market maintained a fluctuating trend, and downstream buyers continued to adopt a wait-and-see attitude, with no improvement seen in spot transactions.