Spot Zinc Price Movement (2013-7-24)

SHANGHAI, Jul. 24 (SMM) – #0 zinc prices were between RMB 14,690-14,730/mt, with spot premiums of RMB 90-110/mt against SHFE 1310 zinc contract prices. #1 zinc prices were around RMB 14,670/mt. Due to disappointing HSBC’s July PMI for China, SHFE zinc prices opened high but moved lower, distressing smelter willingness to sell goods. Traders sold goods at higher prices initially as zinc prices fluctuated at high levels, as prices fell and since spot premiums expanded, arbitrage traders released goods. But most traders were cautious, and downstream buyers also took a wait-and-see attitude, leaving transactions quiet.