US Job Openings Below Expectations, LME Zinc Shows Weak Performance [SMM Zinc Morning Comment]

SMM, Sep 5: Overnight, US job openings in July fell to their lowest level since January 2021; Bostic: Inflation and employment risks are now balanced; Bank of Canada cut interest rates by 25 basis points for the third consecutive time; Israeli Prime Minister reiterated that the Israeli army will not withdraw from the "Philadelphi Corridor"; Nvidia stated it has not received a subpoena from the US Department of Justice; China's Caixin China Services PMI for August fell to 51.6; Taobao App will soon fully support WeChat Pay.
Overnight, LME zinc opened at $2,848.5/mt, briefly rose to $2,854.5/mt at the beginning of the session, then shorts increased their positions, causing LME zinc to fluctuate downward, hitting a low of $2,775/mt during European trading hours. Subsequently, LME zinc fluctuated upward during the night session, consolidating at $2,800/mt, and finally closed down at $2,803.5/mt, a decrease of $46.5/mt or 1.63%. Trading volume increased to 11,990 lots, and open interest increased by 4,511 lots to 226,000 lots. Overnight, LME zinc recorded a bearish candlestick, with LME inventory decreasing by 1,575 mt to 239,750 mt, a drop of 0.65%. Due to US July JOLTs job openings data falling below expectations, the US dollar index plunged nearly 50 points, raising concerns about an economic recession, leading to capital profit-taking and exit, causing LME zinc to shift downward. It is expected to have downside potential today.
Overnight, the most-traded SHFE zinc 2410 contract opened at 23,360 yuan/mt, with longs reducing their positions at the beginning of the session, causing SHFE zinc to fluctuate downward to a low of 23,320 yuan/mt. Subsequently, shorts reduced their positions, causing SHFE zinc to shift upward, reaching a high of 23,490 yuan/mt. At the end of the session, both longs and shorts intertwined, with SHFE zinc consolidating along the daily moving average, and finally closed down at 23,410 yuan/mt, a decrease of 10 yuan/mt or 0.04%. Trading volume decreased to 83,990 lots, and open interest decreased by 2,509 lots to 106,000 lots. Overnight, SHFE zinc recorded a bullish candlestick, with the MACD column turning bearish. Concerns about weak economic growth prospects suppressing demand for base metals led to a bearish market sentiment, causing SHFE zinc to shift downward. It is expected to have downside potential today.