Tianjin Zinc: Weak downstream purchasing sentiment, overall poor transaction volume [SMM Midday Review]

SMM, June 6: In the Tianjin market, mainstream transactions for #0 zinc ingot were concluded at 22,480-22,710 yuan/mt, with Zijin transactions at 22,580-22,820 yuan/mt, and #1 zinc ingot transactions at around 22,120-22,290 yuan/mt. Huludao was quoted at 26,020 yuan/mt. Regular #0 zinc ingot was quoted at a premium of 240-310 yuan/mt against the 2507 contract, while Zijin was quoted at a premium of around 340-400 yuan/mt against the 2507 contract. Tianjin was quoted at a discount of around 80 yuan/mt against Shanghai. By the close of the morning session, Hongye was quoted at a premium of around 290 yuan/mt against the 07 contract, Chihong was quoted at 260-330 yuan/mt against the 2507 contract, and premium brands like Zijin were quoted at a premium of around 340-400 yuan/mt against the 07 contract. The futures market pulled back today, but downstream consumption remained weak, with purchasing sentiment also low. There was an abundance of spot cargo in the Tianjin region, and the price spread between futures contracts continued to narrow. Traders continuously lowered premiums to facilitate sales, resulting in overall poor market transactions.