SMM Morning Review - 2011/1/5 Zinc Market

SHANGHAI, Jan. 5 (SMM) – The euro weakened against major currencies overnight. The successful German treasury bills auction failed to ease concerns over European debt crisis, Spain announced Tuesday budget deficit will be higher than expected, while speculations Spain will need to turn to international bailout. In this context, LME zinc prices continued to fluctuate and finally closed at USD 1,866.5/mt, down 5.5/mt. SHFE 1203 zinc contract prices should open lower and move between RMB 14,650-14,950/mt today, with spot discounts between negative RMB 100-200/mt.