Tianjin Zinc: Zinc Prices Plunged Sharply, Transactions Better Than Yesterday [SMM Midday Review]

SMM January 15 News: In the Tianjin market, mainstream transactions for 0# zinc ingot were at 23,950-24,380 yuan/mt, Zijin traded at 24,020-24,410 yuan/mt, and 1# zinc ingot traded around 23,460-23,840 yuan/mt. Huludao was quoted at 27,760 yuan/mt. The premium for ordinary 0# zinc against the 2502 contract was around 370-430 yuan/mt, while Zijin's premium against the 2502 contract was around 440-460 yuan/mt. The Tianjin market had a discount of 40 yuan/mt compared to the Shanghai market. By the close of the midday session, Xinzi's premium against the 02 contract was 370-430 yuan/mt, Chihong's premium against the 02 contract was 370-430 yuan/mt, Xikang had no quotes for the 02 contract, and Bailing's premium against the 02 contract was around 370-430 yuan/mt. High-end brand Zijin's premium against the 02 contract was around 440-460 yuan/mt. The Tianjin spot-futures price spread was 385 yuan/mt. During the first trading session, zinc prices dropped back slightly, reaching downstream psychological price levels, leading to low purchasing enthusiasm from downstream buyers. Traders, eager to sell, slightly lowered premiums. In the second trading session, zinc prices pulled back significantly, prompting increased downstream purchasing at lower prices. Coupled with a reduction in the availability of spot zinc ingots in Tianjin, traders maintained stable quotes. Overall, market transactions were better than the previous day.