SHANGHAI, Oct. 16 (SMM) – LME zinc prices overnight opened at USD 1,926/mt. China released its September CPI was up 1.9% YoY, nearly a record low in two years, while the PPI was down 3.6% YoY, a drop for the seventh straight month, showing China’s economic situations were still sluggish. As a result, LME zinc prices touched USD 1,940.8/mt and then fell. New York Federal Reserve released its October manufacturing index was -6.16, higher than the previous month’s level but lower than forecasts. The sub-item employment index was 1.08, the lowest since last November. Mixed US manufacturing data failed to boost the market. As a result, LME zinc prices dipped to USD 1,898.8/mt, and finally closed at USD 1,918/mt, down USD 13.5/mt. LME zinc inventories grew by 24,650 mt, to 1036,625 mt.
LME zinc prices are expected to move between USD 1,900-1,920/mt today, and SHFE 1301 zinc contract prices should move between RMB 15,100-15,250/mt, with spot discounts between RMB 160-190/mt.