SHANGHAI, Aug. 5 (SMM) – China's loosening restrictions on home purchasing, and the State Council released the Notice Regarding Enhancing Low-Income Housing Transformation to urge low-income housing construction, boosting market confidence toward the property market. China's stocks rose across the board, with the Shanghai Composite Index surging 1.74% and the Shenzhen Component Index up 1.60%. LME zinc prices opened at USD 2,343/mt, and touching as high as USD 2,404.5/mt, and closing at USD 2,403/mt, up USD 59.5/mt or 2.54%. LME zinc inventories fell by 1,310, to 10,131 lots, and total positions decreased 2,501 to 332,351 lots. LME zinc inventories fell 200 mt to 655,075 mt.
SHFE 1410 zinc contract prices opened at RMB 16,950/mt on Monday evening, touching RMB 17,190/mt and closing at RMB 17,135/mt, up RMB 325/mt or 1.93%. Trading volumes increased by 89,258 to 319,160 lots, and total positions increased by 25,156 to 299,892 lots.
HSBC's July PMI as well as US Markit July PMI and ISM non-manufacturing index will be announced today, which are optimistic. LME zinc prices will move between USD 2,390-2,415/mt today, and SHFE 1410 zinc contract prices will move between RMB 17,000-17,180/mt, with spot discounts between RMB 10-60/mt against SHFE 1410 zinc contract prices.