SHFE Zinc Prices Fall on Disappointing Data (Aug. 13, 2014)

SHANGHAI, Aug. 12 (SMM) – SHFE 1410 zinc contract prices opened higher at RMB 16,805/mt Tuesday evening, but were dragged down by the exodus of longs, dipping to as low as RMB 16,675/mt, and closing at RMB 16,695/mt, down RMB 5/mt or 0.03%. Trading volumes increased by 68,932 to 246,782 lots, and total positions fell by 4,700 to 263,922 lots.

SHFE 1410 zinc contract prices opened at RMB 16,695/mt on Wednesday, touching an intraday high of RMB 16,760/mt in the morning, but falling below RMB 16,600/mt mark due to sluggish economic data from China, and closing at RMB 16,580/mt, down RMB 120/mt or 0.72%. Trading volumes decreased by 50,366 lots, to 582,714 lots, and total positions decreased by 21,538 lots to 247,084 lots. SHFE 1410 zinc contract prices are expected to test the 40-day moving average given resistance from moving averages and weakening LME zinc prices.