Shanghai Zinc: Traders Face Poor Sales, Premiums Continue to Decline [SMM Midday Review]

SMM May 12 report: Today, the mainstream transaction prices for 0# zinc were concentrated in the range of 22,600 to 22,975 yuan/mt, with Shuangyan zinc trading at 22,730 to 23,095 yuan/mt, and 1# zinc trading mainly at 22,530 to 22,905 yuan/mt. In the morning session, the market quoted premiums of 90 to 120 yuan/mt against the average price, with no quotes against the futures market. During the second trading session, quotations for ordinary domestic zinc were at premiums of 520 to 530 yuan/mt against the 2506 contract, while Baiyin zinc was quoted at a premium of 450 yuan/mt against the 2506 contract, Honglu-v zinc at a premium of 480 yuan/mt against the 2506 contract, Huize zinc at a premium of 650 yuan/mt against the 2506 contract, and the high-end brand Shuangyan zinc was also quoted at a premium of 650 yuan/mt against the 2506 contract. Imported zinc ingots continued to flow into the domestic market, supplementing zinc ingot supply. The futures market fluctuated continuously in the morning session. Some downstream buyers, who had pre-sold imported zinc ingots earlier, showed low buying sentiment today. Domestic traders faced difficulties in selling their cargoes, and spot premiums continued to weaken.