Limited arrivals, downstream purchases shrink zinc inventory

Published: Aug 17, 2018 15:11

Save

Social inventories of zinc across Shanghai, Tianjin and Guangdong declined substantially this week

SHANGHAI, Aug 17 (SMM) – Social inventories of zinc across Shanghai, Tianjin and Guangdong dropped substantially this week with downstream purchases and limited arrivals from smelters.

The inventory figure came in at 107,000 mt as of Friday August 17, down 16,200 mt, or 13%, from Monday and down 15,900 mt from last Friday, SMM data showed. Inventory drops in Shanghai and Guangdong contributed to the overall decline.

As zinc prices fell, smelters held back from selling while downstream made purchases for restocking. Overall trading was more active than last week. Typhoon Rumbia also delayed some arrivals.

Stocks are likely to halt such decline next week if more imported materials flow into the domestic market.

Inventory data Zinc

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

2 hours ago

Market Factors Are Mixed, SHFE Zinc Maintains Fluctuating Trend [SMM Zinc Morning Comment]

[SMM Zinc Morning Comment] Overnight, the most-traded SHFE zinc 2603 contract opened at 24,975 yuan/mt, initially dipped to 24,615 yuan/mt, then rose to a high of 25,065 yuan/mt as bears reduced positions, maintained a fluctuating trend toward the session close, and finally settled at 24,890 yuan/mt, up 375 yuan/mt or 1.53%.

2 hours ago

Macro disturbances were numerous, the US dollar index continued its upward trend, and LME zinc recorded a bearish candlestick [SMM Morning Meeting Minutes]

[SMM Morning Meeting Summary: Macro Factors Create Volatility as US Dollar Index Continues Rising, LME Zinc Records a Bearish Candlestick] Overnight, the LME zinc contract opened at $3,370/mt, fluctuated downward initially to a low of $3,238/mt, then gradually rebounded to a high of $3,377/mt. During the night session, it maintained a fluctuating trend before finally closing down at $3,318.5/mt, a decrease of $51.5/mt, or 1.53%. Trading volume increased to 153,000 lots, while open interest fell by 3,702 lots to 236,000 lots.

2 hours ago

16 hours ago

Macro sentiment disturbance SHFE zinc plummeted [SMM Zinc Futures Brief Review]

[Macro sentiment disturbance SHFE zinc plummeted]: The most-traded SHFE zinc 2603 contract opened at 25,625 yuan/mt, touched a high of 25,625 yuan/mt early in the session, then fell all the way, probing a low of 24,245 yuan/mt near the close, and finally settled at 24,515 yuan/mt, down 1,260 yuan/mt, a drop of 4.89%.

16 hours ago