SHANGHAI, Jul. 30 (SMM) -- Last Friday, SHFE 1211 zinc contract prices opened higher at RMB 14,520/mt, and fluctuated around the moving average briefly. As the US dollar index plunged at noon, SHFE 1211 zinc contract prices were pushed up to RMB 14,600/mt, and moved steadily between RMB 14,600-14,650/mt in the afternoon, and finally closed at RMB 14,635/mt, up RMB 175/mt or 1.21%.
In domestic spot markets, spot prices rose along with SHFE zinc prices. As domestic smelters continued to hold goods, domestic prices were firm, especially mainstream brands including Shuangyan and Yuguang were quoted close to SHFE three-month zinc contract prices. Other brands were quoted RMB 20-30/mt below SHFE three-month zinc contract prices. #0 zinc was mainly traded between RMB 14,550-14,580/mt, and #1 zinc was quoted between RMB 14,500-14,530/mt, while imported zinc prices leveled with #1 zinc prices. Downstream buyers turned cautious as zinc prices rebounded, and due to cash flow problems at the end of the month. Some smelters released goods due to the need to generate cash.