SHANGHAI, Apr. 3 (SMM) – LME zinc prices opened at USD 1,973/mt overnight, and leveled out due to the lack of directions, touching USD 1,980/mt during Asian trading hours. During European and US trading hours, LME zinc prices rose and touched an intraday high of USD 1,988/mt at one point. US February factory orders and ADP March employment data were positive, pushing up the US dollar index and weighing down base metals prices. LME zinc prices rolled back early gains and finally closing at USD 1,969/mt, down USD 3.5/mt or 0.18%. Trading volumes decreased by 1,711 lots to 7,681 lots, and total positions increased by 938 lots to 290,134 lots. LME zinc inventories grew by 5,500 mt to 839,075 mt.
SHFE 1406 zinc contract prices opened high at RMB 14,875/mt on Wednesday evening, and then dropped, closing at RMB 14,820/mt, up RMB 15/mt or 0.1%. Trading volumes decreased by 4,560 lots to 5,084 lots, and total positions decreased by 108 lots to 73,714 lots.
European Central Bank's interest rate decision and the number of US initial jobless claims last week will be released today. LME zinc prices are expected to move between USD 1,960-1,990/mt today, and SHFE 1406 zinc contract prices will hover between RMB 14,760-14,860/mt, with spot discounts of RMB 110-130/mt against SHFE 1406 zinc contract prices.