Shanghai, Jun. 19 (SMM) – During Asian trading hours, LME zinc market opened slightly higher at USD 1,910/mt. Later, LME zinc prices advanced following the election result in Greece, hitting a recent high of USD 1,924.8/mt. After brief rallies, LME zinc moved between USD 1,910-1,915/mt. During the European and US trading hours, the dollar rose, and meanwhile the yield of Spanish 10-year government bonds marked a new high, suggesting that the outlook for the Europe remains pessimistic despite the easing of problems in Greece. As a result, LME zinc prices weakened, and finally ended at USD 1,882/mt, down USD 13/mt.
Market worries over Spain’s debt issues overshadowed the election result in Greece, causing LME zinc to erase early gains. SMM expects LME zinc to hover between USD 1,880-1,900/mt. SHFE three-month zinc contract prices may test RMB 14,750/mt, and prices will mainly hover between RMB 14,800-14,950/mt, with spot discounts between RMB 80-110/mt.