SHANGHAI, Jun. 3 (SMM) – The SHFE market was closed yesterday due to the Dragon Boat Festival. China's official May PMI rose for three consecutive months to hit a five-month high, boosting market confidence and driving up US stocks. Base metals prices clawed back early losses. LME zinc prices opened at USD 2,053.75/mt, touching USD 2,086/mt and closing the day at RMB 2,085.75/mt, up RMB 32.75/mt or 1.6%. Trading volumes increased by 659 lots to 8,332 lots, and total positions decreased by 1,753 lots to 307,496 lots.
HSBC's final May PMI for China and euro zone April unemployment rate will be released today. LME zinc prices are expected to move between USD 2,075-2,095/mt today, and SHFE 1408 zinc contract prices will hover between RMB 15,180-15,270/mt, with spot discounts between RMB 0-40/mt against SHFE 1408 zinc contract prices.