SHANGHAI, Jul. 19 (SMM) – LME zinc prices overnight moved steadily after opening during Asian trading hours, fluctuating between USD 1,870-1,880/mt, and plummeting to USD 1,867.3/mt in the afternoon. Bernanke did not mention QE3 implementation, but investors were barely affected. LME zinc prices dipped to USD 1,853/mt. US Commerce Department announced the number of US housing starts during June rose 6.9%, to 76,000, compared to the 5.2% expected, and a record high since October 2008. As a result, LME zinc prices rebounded, and finally closed at USD 1,869/mt, down USD 2.5/mt, or 0.13%. Trading volumes decreased by 2,957 lots to 5,597 lots, and total position decreased by 7,465 lots to 246,565 lots. LME zinc inventories were 1,014,575 mt, up 17,850 mt, with growth mainly found in Johore, New Orleans and Port Swettenham.
LME zinc prices should move between USD 1,860-1,880/mt today, and SHFE three-month zinc contract prices should move between RMB 14,700-14,850/mt, with spot discounts between RMB 80-110/mt.