SHANGHAI, Jul. 15 (SMM) - SHFE 1310 zinc contract opened higher at RMB 14,765/mt on Friday. The most active SHFE zinc contract moved within RMB 14,715-14,735/mt in the morning session, but then inched down to RMB 14,705/mt. China’s A-shares shed 1.62% and LME zinc fell, driving SHFE zinc for October delivery down to RMB 14,620/mt. SHFE three-month zinc contract ended the day at RMB 14,660/mt, down RMB 95/mt or 0.64%. Trading volumes plunged 57,462 lots to 45,982 lots, but positions increased 2,586 lots to 154,232 lots.
Mainstream traded prices of #0 zinc were RMB 14,770-14,790/mt on Friday, RMB 70-80/mt higher than SHFE 1310 zinc contract prices and essentially flat with yesterday. #1 zinc was traded around RMB 14,720/mt. The most active SHFE zinc contract drifted lower after a high opening. Most smelters refrained from selling, while traders were more willing to sell now that zinc prices have risen. Downstream producers shied away from high prices.