SMM Zinc Market Morning Review (2013-11-5)

SHANGHAI, Nov. 5 (SMM) – LME zinc prices overnight opened at USD 1,941/mt, but then edged down as the US dollar index once touched 80.93, dipping to as low as USD 1,915.8/mt, a record low since October 17. The euro rebounded to 1.3500, helping LME zinc prices to hover around USD 1,925/mt, closing at USD 1,929/mt, down USD 7/mt. Trading volumes decreased by 2,206 lots, to 7,621 lots, and total positions decreased by 1,022 lots, to 296,000 lots.

LME zinc prices are expected to move between USD 1,920-1,945/mt today, and SHFE 1401 zinc contract prices should hover between RMB 14,950-15,030/mt, with spot premiums between RMB 50-100/mt against SHFE 1401 zinc contract prices.