Pre-holiday stockpiling lowers zinc social inventories

SHANGHAI, Jun 6 (SMM) – Social inventories of refined zinc across Shanghai, Guangdong and Tianjin edged down this week, as the holiday-extended weekend and lower prices drove downstream consumers to stockpile.

SMM data showed that inventories across the three regions decreased by 900 mt from Monday June 3, and by 3,500 mt from Friday May 31, to stand at 140,400 mt as of Thursday June 6.

The change in inventories between Monday and Friday was limited as greater arrivals grew stocks in Shanghai and offset declines in other two regions.

SMM expects inventories to inch up after the holiday.