Spot Zinc Price Movement (2014-4-16)

SHANGHAI, Apr. 16 (SMM) – #0 zinc prices were between RMB 14,940-14,960/mt, with spot discounts between RMB 0-20/mt against SHFE 1406 zinc contract prices. #1 zinc prices were around RMB 14,920/mt. SHFE 1406 zinc contract prices opened at RMB 14,955/mt on Wednesday, and then fluctuated around opening price. Tight spot supply supported spot prices, causing spot discounts to narrow further. High zinc prices stimulate some smelters to sell goods, while narrowing spot discounts prompted some arbitrage traders to move goods. But supply tightness did not ease due to strong buying interest of traders. Downstream buying interest was low as zinc price approached RMB 15,000/mt. Shuangyan branded #0 zinc prices were between RMB 14,950-14,960/mt, with RMB 14,940-14,950/mt for Jiulong, Qinxin and Feilong branded #0 zinc, RMB 14950/mt for Yuguang branded #0 zinc and RMB 14,930-14,940/mt for Baohui branded #0 zinc. SMC #0 zinc prices were around RMB 14,950/mt.