SMM Daily Review - 2012/3/15 Zinc Market

SHANGHAI, Mar. 16 (SMM) -- On Thursday, SHFE three-month zinc contract prices opened lower at RMB 15,830/mt and dipped to RMB 15,800/mt several times. As large numbers of buyers entering the market, SHFE three-month zinc contract prices fluctuated around the moving average during the day. In the afternoon, SHFE three-month zinc contract prices once dipped to RMB 15,805/mt, but rallied to close at RMB 15875/mt as the US dollar index fell, down RMB 155/mt or 0.97%. Trading volumes decreased by 67,738 lots to 161,758 lots, and total position decreased by 3,832 lots to 160,038 lots.

In domestic spot markets, discounts against SHFE three-month zinc contract prices remained around RMB 350/mt. #0 zinc was traded between RMB 15,500-15,550/mt, and #1 zinc was traded between RMB 15,450-15,500/mt. downstream buyers increased purchases, and goods supply available in the market was sufficient, with both traders and smelters actively moving goods.