Guangdong Zinc: Market trading atmosphere improves, spot premiums rise [SMM Midday Review]

SMM May 20 report:

       In Guangdong, the mainstream transactions for 0# zinc were concluded at RMB 22,685-22,810/mt. Mainstream brands were quoted at a premium of RMB 305/mt against the 2507 contract, and at a discount of RMB 110/mt against spot cargo in Shanghai. The Shanghai-Guangdong price spread narrowed. In the first instance, suppliers quoted Qilin and Lanxin zinc at a premium of RMB 315-345/mt. In the second instance, Qilin zinc was quoted at a premium of RMB 345/mt against the online price. Overall, zinc prices continued to maintain a fluctuating trend in the morning session, with some downstream enterprises purchasing for inventory today, while trading among traders was relatively active. Market transactions improved today. Meanwhile, the arrival of some brands has been relatively low recently. Multiple factors drove a slight increase in Guangdong premiums.