SHANGHAI, Mar. 22 (SMM) -- On Wednesday, SHFE three-month zinc contract prices opened at RMB 15,775/mt, dragged down by LME zinc prices overnight. Boosted by the strengthening Shanghai Composite Index, SHFE three-month zinc contract prices rallied but dipped to RMB 15,760/mt, with prices finally closing at RMB 15,820/mt, down RMB 70/mt.
In domestic spot markets, discounts of #0 zinc were around RMB 250-260/mt against SHFE three-month zinc contract prices, with traded prices between RMB 15,550-15,600/mt. Spot prices were firm as traders moving goods caused discounts to narrow, and remained around RMB 250/mt since SHFE zinc prices failed to rise at noon, with traded prices down to RMB 15,530-15,550/mt. #1 zinc was traded between RMB 15,460-15,500/mt. Traders were actively selling goods, while downstream buyers only purchased cautiously.