SHANGHAI, Jul. 10 (SMM) – LME zinc prices overnight opened at USD 1,875/mt, and fluctuated between USD 1,870-1,880/mt during Asian trading hours. UK May commodity trade was GBP -84.91, missing expectations, and manufacturing output fell by 2.9% YoY, its largest declines since January 2013. LME zinc prices dropped. Standard & Poor’s unexpectedly downgraded Italy’s rating, and IMF lowered its expectations of global economic growth in 2013, depressing market sentiment and pushing up the US dollar index. In this context, LME zinc prices were dragged down to USD 1,845/mt before rebounding, and finally closing at USD 1,869/mt, down USD 5.0/mt or 0.27%. Trading volumes increased by 498 lots, to 7,923 lots, and total positions increased by 370 lots, to 268,931 lots. LME zinc inventories fell by 5,275 mt, to 1,025,050 mt.
LME zinc prices will move between USD 1,850-1,880/mt today, and SHFE 1310 zinc contract prices should fluctuate between RMB 14,450-14,550/mt, with spot premiums against SHFE 1309 zinc contract prices between RMB 90-120/mt.