SMM Daily Review - 2011/7/21 Zinc Market

SHAGNHAI, Jul. 22 (SMM) -- On Thursday, SHFE 1110 zinc contract prices opened lower at RMB 18,700/mt, with prices moving between RMB 18,650-18,700/mt during the morning session. China’s HSBC PMI in June was lower than forecasts, and the Shanghai Stock Exchange composite index plummeted, both dragging down SHFE 1110 zinc contract prices to RMB 18,500-18,600/mt, with prices finally closing at RMB 18,560/mt, down RMB 210/mt, or down 1.12%, below the 5-day moving average. Trading volumes increased by 12,390 lots to 204,006 lots, and total positions increased by 5,300 lots to 196,986 lots.

SHFE 1110 zinc contract prices opened lower and plunged at noon due to weak China HSBC PMI in June. #0 zinc was traded between RMB 18,280-18,300/mt in the morning, then fell to RMB 18,150-18,200/mt along with SHFE zinc prices, with discounts of negative RMB 370-400/mt against SHFE 1110 zinc contract prices. #1 zinc was traded between RMB 18,100-18,150/mt. Traders were actively moving goods while downstream buyers were cautious. In the afternoon, spot zinc prices fell to RMB 18,150/mt tracking SHFE zinc prices, and downstream buyers purchased modestly. But the overall transactions were quiet.

Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn