SHANGHAI, Mar. 27 (SMM) – SHFE 1506 zinc contract prices opened at RMB 15,935/mt Wednesday evening, and rose to RMB 15,950-15,990/mt, and closed the day at RMB 15,965/mt, up RMB 35/mt or 0.22%. Trading volumes decreased 4,756 to 37,334 lots, and total positions increased 2,198 to 124,580. SHFE 1506 zinc contract prices opened at RMB 15,975/mt Thursday evening. Crude oil prices surged 5% due to growing tensions in the Middle East, bolstering base metals prices. SHFE 1506 zinc contract prices climbed to RMB 16,015/mt, but fell later the day and closed the day at RMB 15,965/mt, up RMB 35/mt or 0.22%. Trading volumes increased 11,272 to 96,702 lots, and total positions increased 2,868 to 125,250. SHFE 1506 zinc contract prices are expected to test RMB 16,000/mt this evening.
#0 zinc prices were between RMB 15,800-15,850/mt, RMB 140-100/mt below SHFE 1505 zinc contract prices. #1 zinc was traded between RMB 15,700-15,740/mt. SHFE 1505 zinc contract prices fluctuated between RMB 15,930-15,970/mt after opening, with spot discounts widening. Traders purchased actively at lower prices, causing overall transactions to improve. Downstream buying interest, however, was weak. Shuangyan #0 zinc prices were RMB 15,840-15,850/mt, RMB 110-100/mt below SHFE 1505 zinc contract prices. Yuguang #0 zinc prices were RMB 15,830-15,840/mt, RMB 120-110/mt below SHFE 1505 zinc contract prices. Qinxin, feilong and Qilin #0 zinc prices were RMB 15,800-15,830/mt, with spot discounts of RMB 130-120/mt or RMB 150/mt against SHFE 1505 zinc contract prices. SMC #0 zinc prices were RMB 15,810-15,820/mt, with spot discounts of RMB 130/mt against SHFE 1505 zinc contract prices. Indian and Namibia’s #0 zinc prices were RMB 15,760-15,770/mt, with discounts of RMB 180-160/mt against SHFE 1505 zinc contract prices. SHFE 1506 zinc contract prices rose RMB 30/mt in the afternoon, but spot discounts narrowed to RMB 120-110/mt due to the entry of bargain hunters.