SHANGHAI, Jul. 11 (SMM) – LME zinc prices overnight opened at USD 1,869/mt, and moved below the 60-day moving average during Asian trading hours, once dropping below the 20-day moving average, and dipping to USD 1,855.3/mt. Federal Reserve Chairman Bernanke stated to ease market concerns, pushing down the US dollar index below the 10-day moving average to 83, a drop of 1.35%. LME zinc prices edged up to USD 1,898.3/mt, and finally closing at USD 1,984/mt, up USD 25/mt, or 1.34%. Trading volumes increased by 1,058 lots, to 8,981 lots, and total positions decreased by 4,236 lots, to 264,695 lots. LME zinc inventories fell by 4,900 mt, to 1020,150 mt.
LME zinc prices will move between USD 1,890-1,925/mt today, and SHFE 1310 zinc contract prices should rise to RMB 14,700-14,820/mt, with spot premiums against SHFE 1309 zinc contract prices narrowing to RMB 40-70/mt.