Robust demand lowered zinc social inventories by 12,400 mt on week

SHANGHAI, Dec 6 (SMM) – Social inventories of refined zinc across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei stood at 129,900 mt as of December 6, down 12,400 mt from Friday November 29 and 11,500 mt from Monday December 2, showed SMM data.

Shanghai and Guangdong primarily contributed to the inventory decline, down 5,900 mt and 4,100 mt on week respectively, as downstream consumers restocked amid stable orders.

With rising spot premiums in Shanghai and widening price spreads between Shanghai and Guangdong, cargoes were removed from Guangdong to east China and remained en route.

Stocks across all the seven regions, except for Hebei and Zhejiang have declined this week, amid robust demand from downstream consumers.

For the same week, social inventories of refined zinc across Shanghai, Tianjin and Guangdong fell 11,500 mt.