Guangdong Zinc: Futures market center rises, spot premiums decline [SMM Midday Review]

SMM May 15 news:

       In Guangdong, the mainstream transactions for 0# zinc were concluded at 22,780-22,965 yuan/mt. Mainstream brands were quoted at a premium of 205 yuan/mt against the 2506 contract, and at a discount of 20 yuan/mt against spot cargo in Shanghai. The Shanghai-Guangdong price spread narrowed. In the first session, suppliers quoted premiums of 155-185 yuan/mt for Qilin, Mengzi, and Lanxin zinc. In the second session, Qilin, Mengzi, and Lanxin zinc were quoted at a premium of 165-175 yuan/mt against the online price. Overall, the futures market's center moved upward today, and with premiums and discounts remaining relatively high, downstream buyers exhibited a fear of high prices. Early in the session, traders faced difficulties in selling, leading to continuous adjustments downward in premiums and discounts. In the second session, market activity slightly improved. The upward movement in zinc prices, coupled with sluggish spot transactions, drove spot premiums/discounts lower.