SHANGHAI, Oct. 29 (SMM) – LME zinc prices overnight opened at USD 1,847/mt. As the US dollar index stood at 80, LME zinc prices touched USD 1,856/mt briefly and then dipped to USD 1,822.3/mt. US 3Q GDP was initially 2.0%, higher than the 1.9% expected, and much better than the 1.3% for 2Q, boosting investors’ confidence and allowing LME zinc prices to rebound. But University of Michigan released its October CCI for US was finally 82.6, causing risk aversion sentiment to improve. As a result, LME zinc prices fell slightly and finally closed at USD 1,834.5/mt, down USD 8.8/mt. LME zinc inventories fell by 3,025 mt, to 1,142,900 mt.
LME zinc prices are expected to fluctuate weakly between USD 1,820-1,840/mt today, and SHFE 1301 zinc contract prices should fall to RMB 14,500-14,700/mt, with spot discounts narrowing further to RMB 90-120/mt.