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Zinc Inventories in China Major Markets Fall 9th Straight Week
May 6, 2016 16:17Source:SMM
Combined zinc inventories in Shanghai, Tianjin and Guangdong fell 10,600 to 361,300 tonnes this past week, SMM reports.
SHANGHAI, May 6 (SMM) -Combined zinc inventories in Shanghai, Tianjin and Guangdong fell 10,600 to 361,300 tonnes this past week, SMM reports.
Shanghai saw a big decline in zinc inventories. Hanzhong Zinc Industry Co. and Shaanxi Zinc Industry Co.’s Shangluo Smelter preferred to ship goods to Tianjin as the price spread between Shanghai and Tianjin was bigger than freight charges. When combined with entry of bargain hunters, Shanghai’s zinc inventories decreased 11,500 tonnes.
Shipments from Guangdong to Shanghai were limited due to small discounts of Guangdong’s zinc prices over Shanghai prices. Meanwhile, supplies in Guangdong grew after maintenance at zinc smelters. Downstream buying interest was also weak, growing zinc inventories in Guangdong.
Total inventories in the three regions should remain steady next week, SMM predicts.
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