SHANGHAI, Jul. 14 (SMM) – Risk aversion abated on improving macroeconomic situation, boosting base metals. Eurozone leaders reached an agreement with Greece on its debt issue, decreasing risk aversion. China’s import and export data improved in June, helping ease market concerns over China’s demand. China’s A-share posted a three-day winning streak, inspiring the market.
LME zinc prices opened at USD 2,000/mt Monday, then pull up to USD 2,050-2,055/mt, and closed at RMB 2,054/mt, up RMB 41/mt or 2.04%. Trading volumes increased 12,064 to 114,000 lots, and total positions fell 149 to over 303,000. LME zinc inventories fell 950 to 458,000 mt.
SHFE 1509 zinc contract prices opened at RMB 15,445/mt Monday evening, then hovered around RMB 15,550/mt, and closed at RMB 15,575/mt, up RMB 345/mt or 2.27%. Trading volumes increased 45,234 to over 80,000 lots, and total positions grew 2,138 to 131,000.
LME zinc prices should move between USD 2,030-2,060/mt today, and SHFE 1509 zinc contract prices will fluctuate between RMB 15,500-15,600/mt, with spot premiums of RMB 20-60/mt against SHFE 1509 zinc contract prices.