Shanghai, May 22 (SMM) – During Asian trading hours, LME zinc market opened lower at USD 1,895/mt, and later rose mildly to USD 1,915/mt due to positive movements in the SHFE zinc market. During European and US trading hours, LME zinc prices tumbled to USD 1,891/mt, plagued by HP’s lay-off plan and disappointing earnings reports, and finally finished at USD 1,910/mt. Trading volumes were up 1,035 lots to 8,530 lots, and positions were down 163 lots to 266,903 lots.
Supported by rising LME zinc market overnight, SHFE three-month zinc contract prices will open higher on Tuesday. The HSBC will announce the China’s manufacturing PMI today, with the reading expected to be below 50. SMM expects SHFE zinc prices to move between RMB 14,900-15,100/mt, with spot discounts between RMB 50-100/mt.