SHAGNHAI, Oct. 27 (SMM) -- On Wednesday, SHFE three-month zinc contract prices opened lower at RMB 14,750/mt, moving between RMB 18,450-14,950/mt in the morning session. In the afternoon, SHFE three-month zinc contract prices surged boosted by LME zinc prices overnight to touch RMB 15,175/mt, but met resistance and fell to the moving average, with prices finally closing at RMB 14,945/mt, down RMB 205/mt, above the 10-day moving average. Trading volumes decreased significantly by 370,000 lots to 583,648 lots, and total positions increased by 5,484 lots to 225,084 lots.
In domestic spot markets, #0 zinc was traded around RMB 15,000/mt, with premiums of RMB 50-70/mt against SHFE 1201 zinc contract prices. #1 zinc was traded around RMB 14,980/mt. The market was cautious due to price volatility, with transactions muted. Spot premiums narrowed to RMB 10-20/mt at noon, with quotations above RMB 15,100/mt, but transactions were quiet.