SMM Morning Review - 2011/9/15 Zinc Market

SHANGHAI, Sept. 15 (SMM)--LME zinc prices overnight inched down during Asian trading hours. The US dollar index surged on concerns European debt crisis will exacerbate, weighing down LME zinc prices to USD 2,160-2,170/mt. French President Nicolas Sarkozy and German Chancellor Angela Merkel are “convinced” Greece will remain in the euro area, according to a statement issued by Sarkozy after they spoke to Greek Prime Minister George Papandreou by telephone. As a result, LME zinc prices fluctuated to close at USD 2,173/mt, down USD 27/mt. SHFE three-month zinc contract prices should open lower today, moving between RMB 16,650-16,950/mt, with discounts narrowing to negative RMB 50-150/mt. Downstream buying interest should improve.