SHAGNHAI, Dec. 23 (SMM) -- On Thursday, SHFE three-month zinc contract prices opened lower at RMB 14,845/mt below the 5-day moving average, and dipped to RMB 14,730/mt in the morning session, causing a large number of shorts to leave the market with profit-taking. Later in the day, SHFE three-month zinc contract prices rallied to close at RMB 14,865/mt, down RMB 50/mt. Trading volumes increased by nearly 50,000 lots to 213,354 lots, and total position increased by 7,620 lots to 197,048 lots.
In domestic spot markets, spot discounts against SHFE 1203 zinc contract prices were around negative RMB 100/mt, with traded prices between RMB 14,650-14,700/mt. As SHFE zinc prices rose in the midday, spot discounts expanded to negative RMB 120-130/mt, with traded prices touching RMB 14,750/mt. Imported zinc prices were RMB 180/mt below SHFE 1203 zinc contract prices. #1 zinc was traded between RMB 14,650-14,700/mt. Transactions were still muted.