SHANGHAI, Mar. 11 (SMM) – LME zinc prices opened low at USD 2,046/mt overnight, dipping to USD 2,030/mt before leveling out during Asian trading hours, touching USD 2,052/mt. During European and US trading hours, LME zinc prices continued to fall due to the lack of positive news and market reticence, dropping to an intraday low of USD 2,012/mt, down as much as 2%. But as some bargain hunters entered the market, LME zinc prices rose and gained back most of daily losses, and closing at USD 2,045.3/mt, down USD 12.8/mt or 0.62%. Trading volumes increased by 679 lots to 17,478 lots, and total positions increased by 4,053 lots to 315,319 lots. LME zinc inventories grew by 16,375 mt to 792,375 mt.
SHFE 1405 zinc contract prices opened at RMB 14,750/mt on Monday evening, then rose as some bargain hunters entered the market and since a large number of shorts left the market after profit-taking, touching RMB 14,875/mt, and finally closing at RMB 14,845/mt, down RMB 25/mt or 0.17%. Trading volumes decreased by 29,052 lots to 106,776 lots, and total positions decreased by 72 lots to 110,334 lots.
LME zinc prices are expected to rebound slightly today, moving between USD 2,035-2,065/mt, and SHFE 1405 zinc contract prices will hover between RMB 14,820-14,940/mt, with spot discounts of RMB 90-130/mt against SHFE 1405 zinc contract prices.