SHANGHAI, Apr. 5 (SMM) – LME zinc stayed between USD 1,970/mt and USD 2,020/mt on Monday and Tuesday as Asian investors pulled out due to the Qingming Festival and amid mixed economic data from Europe and the US. The metal lost USD 31.8/mt closing at USD 1,980/mt on Wednesday due to fading QE3 hopes following release of Fed meeting minutes and much higher-than-expected returns required for holding Spanish debt.
The most active SHFE zinc contract for delivery in June might shed some losses during today’s trading as weak performance of LME zinc and mixed economic data from Major economies dampen investor confidence. SMM expects the contract to move between RMB 15,300/mt and RMB 15,500/mt during today’s trading. Spot zinc is expected to trade at discounts of RMB 150-250/mt over the SHFE current-month zinc price.