SHANGHAI, Jun. 25 (SMM) – LME zinc prices opened at USD 2,049/mt then edged up to USD 2,073.5/mt, and closed at USD 2,044/mt, down USD 11.2/mt or 0.54%. Trading volumes decreased 18,119 to 75,772 lots, and total positions grew 2,399 to 288,684. LME zinc inventories fell 1,475 to 462,900 mt.
SHFE 1509 zinc contracts became the most actively traded contracts Wednesday evening, with prices opening at RMB 15,790/mt, then falling below the 5-day moving average, but stabilizing at RMB 15,650/mt. Finally, SHFE 1509 zinc contract prices closed at RMB 15,645/mt, down RMB 70/mt or 0.45%. Trading volumes increased 10,542 to 39,782 lots, and total positions grew 2,080 to over 100,000.
Greece failed to strike a deal with its creditors yesterday, fueling markets risk aversion.
Major reports were absent. US annualized GDP in Q1 dropped 0.2% QoQ. EIA crude oil inventories slipped 4.934 million bbls, which was still near the same period’s highest level in the past 80 years. Also, gasoline increased 0.68 million bbls and refined oil inventories were up 1.837 million bbls. US crude oil and Brent oil prices dropped.
US dollar index saw a decline of 0.16% to 95.248. Most European and US stocks posted a drop. LME copper finished up but other LME metals slipped.
LME zinc prices are expected to fall to USD 2,035-2,065/mt today. SHFE 1509 zinc contract prices will move between RMB 15,600-15,700/mt, with spot premiums of RMB 0-20/mt over SHFE 1509 zinc contract prices.