SMM Zinc Market Daily Review (2013-10-18)

SHANGHAI, Oct. 21 (SMM) - SHFE 1401 zinc contract prices opened at RMB 14,930/mt, and then souring to RMB 14,985/mt, but meeting resistance at RMB 15,000/mt. Market players turned cautious at the week’s end. SHFE zinc prices remained between RMB 14,950-14,980/mt, closing at RMB 14,950/mt, up RMB 30/mt or 0.20%. Trading volumes decreased by 4,422 lots, to 37,274 lots, and total positions decreased by 15,904 lots, to 129,018 lots. Total positions of SHFE 1401 zinc contracts decreased by 15,904 lots in the week.

#0 zinc prices were between RMB 15,050-15,110/mt, with spot premiums narrowing RMB 20/mt, to RMB 100-150/mt against SHFE 1401 zinc contract prices. #1 zinc prices were around RMB 15,000/mt. SHFE 1401 zinc contract prices moved between RMB 14,940-14,980/mt. A wait-and-see attitude increased in the market, with spot prices lacking ability to rise, and spot premiums narrowing, and with trading muted. Shuangyan branded #0 zinc prices were RMB 15,100-15,110/mt, with Baohui brand traded at RMB 15,050/mt, and Qinxin and Qilin branded zinc ingot was traded between RMB 15,060-15,080/mt.