SHANGHAI, Jun. 27 (SMM) – SHFE 1409 zinc contract prices opened at RMB 15,660/mt on Wednesday evening, then rose to RMB 15,730/mt, and closing at RMB 15,735/mt, up RMB 70/mt or 0.45%. SHFE 1409 zinc contract prices opened at RMB 15,735/mt on Thursday, then fluctuated between RMB 15,705-15,745/mt in the morning. As a large number of longs entered the market, SHFE 1409 zinc contract prices surged to RMB 15,800/mt, up nearly 1%, and closing at RMB 15,795/mt, up RMB 130/mt or 0.83%. Trading volumes during day session increased by 9,780 lots, to 57,194 lots, and trading volumes for both day and night sessions increased by 36,944 lots to 103,444 lots, and total positions increased by 10,326 lots, to 153,606 lots. Total positions of SHFE zinc were up 18,712 lots to 99,674 lots.
#0 zinc prices were between RMB 15,560-15,580/mt, with spot discounts of RMB 150-130/mt against SHFE 1409 zinc contract prices. #1 zinc prices were between RMB 15,510-15,530/mt. Shuangyan branded #0 prices were between RMB 15,570-15,580/mt, and RMB 15,560-15,570/mt for Qinxin and Baohui branded #0 zinc. Prices for Yuguang branded #0 zinc were RMB 15,570/mt, and RMB 15,540/mt for imported zinc, with supply tight. SHFE 1409 zinc contract prices fluctuated around RMB 15,725/mt, with spot discounts of #0 zinc expanding further. Cargo holders were unwilling to sell, when combined with limited imported zinc arriving, supply was tight. Downstream buying interest improved slightly, but mid-year cash flow tightness and high zinc prices restrained transactions. SHFE 1409 zinc contract prices breached RMB 15,800/mt, leaving cargo holders on the sidelines, and #0 zinc prices between RMB 15,590-15,630/mt.