Shanghai Zinc: Futures Market Continues to Rise, Shanghai Discount Persists [SMM Midday Review]

SMM reported on February 21: Today, the mainstream transaction prices of 0# zinc were concentrated at 24,000-24,200 yuan/mt, with Shuangyan trading at 24,110-24,290 yuan/mt, and the mainstream transaction prices of 1# zinc at 23,930-24,130 yuan/mt. In the early trading session, market quotations were at discounts of 0-10 yuan/mt against the average price, with fewer quotations against the futures market. During the second trading session, ordinary domestic zinc was quoted at discounts of 30-20 yuan/mt against the 2503 contract, Huize at a premium of 70 yuan/mt against the 2503 contract, Baiyin at a discount of 20 yuan/mt against the 2503 contract, and the high-priced brand Shuangyan at a premium of 80 yuan/mt against the 2503 contract. Recently, the Shanghai market has fully entered the discount range, with limited outflow of delivery warehouse warrants, but traders have continued to actively sell, resulting in ample market supply. The morning futures market also continued to rise compared to yesterday, while downstream purchase willingness remained low. Overall, spot purchases were average, and some traders slightly lowered their spot quotations.