SHANGHAI, Sept. 15 (SMM) – China’s fixed assets investment in August hit a 15-year low, and investment in the property market rose 3.5%, also falling short of market expectations. This fueled concerns over China’s economy. When combined with weakening crude oil prices, market sentiment was depressed. Besides, LME zinc inventories grew 45,000 mt, up over 100,000 mt, weighing on zinc prices.
LME zinc prices rolled back early two weeks gains, dipping to USD 1744/mt and closing at USD 1,746.5/mt, down USD 72.5/mt or 3.99%. Total trading volumes were up 3,634 to 11,732 lots, and total positions increased 2,311 to 288,000. LME zinc inventories grew 2,200 to 593,975 mt.
SHFE 1511 zinc contract prices opened at RMB 14,605/mt Monday evening, then dipped to RMB 14,430/mt, and closed at RMB 14,445/mt. Trading volumes were up 27,864 to 72,816 lots.
LME zinc prices are expected to move between USD 1,735-1,765/mt today. SHFE 1511 zinc contract prices will hover between RMB 14,400-14,500/mt today, with spot prices RMB 70-140/mt above SHFE 1511 zinc contract prices.