SHANGHAI, Aug.21 (SMM) -- LME zinc prices remained wire following a brief plunge to USD 1,787.8/mt during the morning Asian trading hours. Boosted by strong performance of China's stock market, LME zinc prices advanced slightly during the afternoon Asian trading hours. However, LME zinc prices were weighed down following Bank of Spain's report that rate of bad debt approached 10% in June, despite of a slight rally due to weakness of the US dollar. Finally, LME zinc ended at USD 1,798.8/mt, down USD 5.3/mt from a day earlier.
Market is waiting for minutes release from the Federal Reserve. SMM expects that LME zinc will struggle around USD 1,800/mt and will move between USD 1,790-1,820/mt on Tuesday. SHFE zinc for delivery in three months will test support at RMB 14,500/mt and shall hold between RMB 14,450-14,600/mt. Premiums of spot zinc will remain RMB 0-20/mt.
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