SMM Zinc Market Morning Review (2015-7-7)

SHANGHAI, Jul. 7 (SMM) – LME zinc prices opened at USD 2,015/mt Monday, then fell below USD 2,000/mt, and dipped to USD 1,978.5/mt, but rallied at the end of trading and closed at USD 2,017/mt, down USD 7/mt or 0.38%. Trading volumes increased 4,309 to 10,152 lots, and total positions fell 2,677 to 299,744. LME zinc inventories fell 25 to 463,375 mt.

SHFE 1509 zinc contract prices opened at RMB 15,205/mt Monday evening, then climbed to RMB 15,240-15,260/mt, and closed at RMB 15,250/mt, down RMB 10/mt or 0.07%. Trading volumes decreased 9,022 to 48,424 lots, and total positions grew 654 to 139,886.

The market will remain cautious ahead of the opening of Eurozone Summit to be held this evening and statement as to Greek issue. LME zinc prices should move between USD 1,990-2,020/mt today, and SHFE 1509 zinc contract prices will fluctuate between RMB 15,190-15,290/mt, with spot premiums of RMB 20-50/mt against SHFE 1509 zinc contract prices.