SHANGHAI, Jun. 23 (SMM) – Last Friday, the market continued to absorb positive effects from Premier Li's statement. LME zinc prices opened at USD 2,159.5/mt overnight, and touched USD 2,182.75/mt, hitting a 16-month high, and closing at USD 2,176/mt, up USD 16.25/mt or 0.75%. Trading volumes decreased by 656 lots to 9,248 lots, and total positions increased 4,185 lots to 302,000 lots.
SHFE 1409 zinc contract prices opened at RMB 15,765/mt last Friday evening, then hovered around RMB 15,760/mt, dipping to RMB 15,710/mt and closing at RMB 15,770/mt, up RMB 40/mt or 0.25%. Trading volumes increased by 3,696 lots to 27,000 lots, and total positions increased by 2,514 lots to 122,000 lots.
HSBC's June PMI for China and June PMIs from euro zone and Germany, as well as US Markit's manufacturing index and May housing data will be released today, which are expected to be mixed. But optimistic HSBC's June PMI for China will give support to LME zinc prices, moving between USD 2,160-2,185/mt today, and SHFE 1409 zinc contract prices will move between RMB 15,700-15,800/mt, with spot discounts between RMB 100-150/mt against SHFE 1408 zinc contract prices.