SMM Zinc Market Daily Review (2013-3-26)

SHANGHAI, Mar. 27 (SMM) - SHFE 1306 zinc contract prices opened at RMB 15,055/mt today due to easing Cyprus debt crisis and since LME zinc prices closed up last Friday, and then touched RMB 15,075/mt, but met strong resistance at the 10-day moving average. SHFE 1306 zinc contract prices generally moved between RMB 15,020-15,050/mt during the day, and finally closed at RMB 15,030/mt, up RMB 85/mt or 0.57%. Trading volumes decreased by 2,990 lots, to 43,036 lots, and total positions decreased by 6,162 lots to 126,230 lots.

SHFE 1306 zinc contract prices opened higher then fluctuated narrowly today. Discounts of #0 zinc against SHFE 1306 zinc contract prices were RMB 200-210/mt, with traded prices around RMB 14,830-14,840/mt. #1 zinc prices were RMB 14,800-14,810/mt. Smelters continued to hold goods, while traders stayed out of the market. Downstream buying interest was still low, keeping overall transactions muted.