SHANGHAI, June 21 (SMM) – Adequate supplies in Shanghai weighed on spot zinc premiums on Thursday June 21, and downstream consumers purchased as needed.
In Shanghai, the 0# common brand was mostly offered at a premium of 30-70 yuan/mt over the SHFE 1807 contract, and 0# Shuangyan brand at 60-90 yuan/mt. This compared with a premium of 70-100 yuan/mt and 100-130 yuan/mt respectively on June 20. The #0 zinc mostly traded at 23,700-23,770 yuan/mt.
The SHFE zinc 1807 contract rose to a high of 23,720 yuan/mt on the morning of June 21 and closed at 23,640 yuan/mt, up 35 yuan/mt from the end of Wednesday’s morning trading session.
Trades in the morning were more active in Guangdong than Shanghai, driven by relatively tight supplies. Traded prices of #0 zinc stood at 23,740-23,790 yuan/mt, up 60-70 yuan/mt from Wednesday. The Guangdong-Shanghai price spread widened to 40 yuan/mt, from flat on Wednesday. Cargoes mostly traded at a premium of 250-290 yuan/mt over the SHFE 1808 contract, up 20 yuan/mt from June 20.