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[4.29 minutes of Zinc Internal Morning meeting] the ban on mines in Peru has been extended to May 10, the spot market in Shanghai has improved.
Apr 29,2020 09:36CST
translation
The content below was translated by Tencent automatically for reference.

Summary of Zinc Morning meeting in SMM on April 29th

Spot fundamentals

Shanghai: in the first period of the morning, with the end of the long market order and the weakening of trading in the trade market, traders took the initiative to lower the price of rising water. The mainstream transaction in the market focused on the average price of SMM net-10 yuan / ton, and the price of follow-up quotation was more chaotic in the morning. The high price was 170 yuan / ton for the 2005 contract and 140 yuan / ton for the 2005 contract, but the transaction in the trade market was light. In the second period, the holder continued to hold down the price of rising water, with the mainstream reporting a rise of 130 yuan / ton to the 2005 contract. Today, the source of imports began to flow out of the market, trading in the trade market was active, downstream procurement prices fell today, bargain purchases, downstream transactions are still good today.

Ningbo: some of the goods from Guangdong arrived today, and the circulation of goods in the Ningbo market increased. In the first period of the morning, the quotation of the holder was basically concentrated around 170 yuan / ton for the May contract. Kirin reported that the rising water for the May contract was 170-180 yuan / ton. In the morning, 210 yuan / ton for the rising water in May was quoted, but few transactions were concluded. Kirin quotation was quickly lowered to about 180 yuan / ton. Huize newspaper raised water by 200 yuan / ton in May, and Yongchang newspaper raised water by 140 yuan / ton in May contract. Overall, the market turnover in the first period was better than yesterday, while the transaction in the second period was higher and worse. Overall, market trading has picked up from yesterday.

 

Guangdong: in the first trading period, the early price fell and the market still offered mainly for shipment, but as the price rebounded, there were few inquiries downstream, the market quotation was lowered, and the transactions between traders were mainly. Kirin, Mengzi, Huize, Tiefeng quoted price for Shanghai zinc June contract rose 4050 yuan / ton, Feilong 30 yuan / ton. In the second trading period, the supply of warehouse receipts has increased recently, and the market can be circulated with abundant resources. The holders are worried about the increase in market arrivals during the May Day holiday, and the demand for cash delivery is higher, and shipments in rising water are more active, while traders mainly purchase goods at low prices and close transactions at low prices in the market. Kirin, Mengzi, Huize and Tiefeng quoted 30-40 yuan per ton for the June contract.

 

Tianjin: today the Shanghai zinc high concussion, the spot market maintains rises the discount quotation, the quotation is more unified, the ordinary brand lark newspaper in the 05 contract quotes the water 300 yuan / ton, the red gold newspaper in the 05 contract quotes the water 340 yuan / ton, the Chi Hong newspaper in the 05 contract quotes the water 300 yuan / ton, the import KZ reports in the 05 contract quotes the water 350 yuan / ton, the high price brand Zijin quotes the water 400 yuan / ton to the May contract. Today, zinc prices fluctuate, the spot market to maintain a discount quotation, some zinc ingots in Guangdong have arrived in Tianjin today, but the impact on the overall market is limited, the discount is still high; downstream, prices fell today compared with yesterday, downstream willingness to receive better, some enterprises have pre-festival reserve behavior. On the whole, today's deal is better than yesterday's.

 

Today's prediction of zinc prices: overnight zinc recorded a major positive line, break through the above daily averages, or will challenge Brin Road on the track. Overnight lme inventories fell 925 tonnes, or 0.95 per cent, to 96850 tonnes, while LME inventories continued to fall back and remain high. Affected by the epidemic, the ban on mines in Peru has been extended to May 10, paying short-term attention to the resumption of work at other overseas mines, and the reduction in mineral production may lead to a shortage of raw materials in overseas smelters. On the domestic side, short-term zinc consumption continues to improve, driving the social bank to the library, and paying attention to the maintenance of smelters in the future.

 

Today is expected: Lun zinc price is expected to operate in the range of US $1900-1950 / ton, Shanghai zinc main force 2006 contract or run in the vicinity of 15800-16300 yuan / ton. Domestic zinc rose by 200 yuan per ton.


 

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