SHANGHAI, Jul 15 (SMM) – Zinc social inventories across Shanghai, Tianjin and Guangdong continued to shrink over the weekend, as limited deliveries from smelters arrived at warehouses with July maintenance in northern China.
SMM data showed that stocks across the three regions decreased by 200 mt from Friday July 12 and by 1,700 mt from Monday July 8 to stand at 146,300 mt as of Monday July 15. Inventories in Tianjin and Shanghai extended their declines, but stocks in Guangdong saw an uptick.
Downstream consumers continued to purchase as demand even as prices slid last week. SMM expects social inventories of zinc to grow in the short term as smelters resume from maintenance.