SHANGHAI, Oct. 14 (SMM) –
LME zinc prices opened at USD 2,320.5/mt overnight then rose to USD 2,330/mt during Asian trading hours due to better-than-expected trade data from China. But as Germany's economic indicators weakened, LME zinc prices dipped to as low as USD 2,303.25/mt. Concerns over an Ebola virus outbreak in the US, combined with loosening monetary posture of the Fed officials, pushed up risk aversion. This weighed down the US dollar index and drove up LME zinc prices to claw back some early losses and closing at USD 2,328.5/mt, down USD 5.25/mt or 0.22%. Trading volumes decreased by 4,166 to 5,785 lots, and total positions increased by 3,643 to 311,488 lots. LME zinc inventories were down 2,650 to 729,025 mt.
SHFE 1412 zinc contract prices opened at RMB 16,830/mt overnight, and rose to RMB 16,800-16,850/mt after briefly dipping to the 5-day moving average, and closed at RMB 16,825/mt, up RMB 95/mt or 0.57%. Trading volumes decreased 92,352 to 137,852 lots, and total positions increased by 5,672 to 172,846 lots.
UK's inflation rate, China's trade data will be released today, and NDRC officials predict China's foreign investment and money supply data will be announced today. The economic indicators from Europe are expected to be poor, but China's data are still promising due to positive trade data released yesterday. LME zinc prices will fluctuate between USD 2,315-2,345/mt today, and SHFE 1412 zinc contract prices will move between RMB 16,770-16,870/mt, with spot premiums between RMB 160-210/mt against SHFE 1412 zinc contract prices.