SHANGHAI, Aug. 11 (SMM) – Major economic data released last Friday were mixed. A reticence dominated the market as China’s import data fell short of market expectations. LME zinc inventories grew for four days in a row by over 30,000 mt, dragging down zinc prices. LME zinc prices opened at USD 2,326.5/mt then dipped to USD 2,280.25/mt. As geopolitical turmoil mitigated, base metals prices rallied, with LME zinc prices leveling off between USD 2,290-2,300/mt and closing at USD 2,296.25/mt, down USD 27/mt or 1.16%.
SHFE 1410 zinc contract prices opened lower at RMB 16,665/mt last Friday evening, and fluctuated between RMB 16,615-16,685/mt, and closing at RMB 16,645/mt, down RMB 155/mt or 0.92%. Trading volumes decreased by 149,212 to 196,196 lots, and total positions grew by 4,692 to 246,522 lots.
Despite China’s mild July CPI and PPI, and easing geopolitical chaos, growing LME zinc inventories weigh on zinc prices. LME zinc prices will move between USD 2,275-2,305/mt today, and SHFE 1410 zinc contract prices will move between RMB 16,590-16,690/mt, with spot prices ranging from RMB 0-40/mt above SHFE 1410 zinc contract prices.