[Tianjin Zinc: Overall Trading Volume Remains Low, Premiums Continue to Decline] In the Tianjin market, mainstream transactions for #0 zinc ingot were concluded at RMB 22,390-22,630 yuan/mt, with Zijin transactions at RMB 22,500-22,680 yuan/mt. #1 zinc ingot transactions were concluded around RMB 22,050-22,220 yuan/mt, while Huludao reported prices at RMB 25,950 yuan/mt. The ordinary #0 zinc ingot was quoted at a premium of RMB 220-300 yuan/mt against the 2507 contract, with Zijin quoted at a premium of RMB 330-350 yuan/mt against the 2507 contract. Tianjin reported a discount of around RMB 60 yuan/mt compared to Shanghai.

[SMM Morning Meeting Summary: Zinc Prices Predominantly in the Doldrums Amidst Increasing Supply and Weakening Demand] Last Friday, SHFE zinc recorded a bearish candlestick, with the daily candlestick's center moving downward and the KDJ indicator's opening expanding downward. The supply side of zinc fundamentals is expected to continue increasing, while consumption remains...

[SMM Zinc Morning Comment] LME zinc recorded three consecutive negative sessions on Friday, with the 40-day moving average providing support below. Non-farm payrolls data on Friday exceeded expectations, weakening expectations for US Fed interest rate cuts this year...

[Production Resumptions at Enterprises During the Week, Operating Rate of Die-Casting Zinc Alloy Rises This Week] This week, the operating rate of die-casting zinc alloy reached 53.68%, up 4.87 percentage points WoW. On the raw material side, zinc prices maintained a fluctuating trend overall this week. Meanwhile, downstream demand weakened after the Dragon Boat Festival. Die-casting zinc alloy enterprises mainly made just-in-time procurement, and raw material inventory decreased WoW...

[Traders faced difficulties in shipping cargo during the week, with spot premiums/discounts continuously declining] This week, spot premiums in Guangdong declined, dropping by 55 yuan/mt WoW. As of Friday this week, the mainstream 0# zinc quotations in the Guangdong market were at premiums of 265~345 yuan/mt against the market, and the Shanghai-Guangdong price spread narrowed...

[SHFE zinc records a bullish candlestick; attention can be paid to the evening's non-farm payrolls performance] The most-traded SHFE zinc 2507 contract opened at 22,260 yuan/mt. In the early session, bulls reduced their positions, and SHFE zinc fluctuated upward above the daily average line. Towards the end of the session, bulls increased their positions, pushing SHFE zinc to a high of 22,415 yuan/mt. It eventually closed higher at 22,385 yuan/mt, up 45 yuan/mt, or 0.20%. Trading volume increased by 174,000 lots, while open interest decreased by 4,939 lots to 120,000 lots.....

[Downstream Procurement Demand Slows Down, Social Inventory of Zinc Increases] According to communication with SMM, as of Thursday (June 5), the total inventory of zinc ingots across seven locations tracked by SMM was 79,300 mt, an increase of 4,300 mt from May 29 and an increase of 1,900 mt from June 3. Domestic inventory recorded an increase...

[Macro sentiment dominated by risk aversion, center of zinc prices on SHFE and LME moved upward] At the beginning of the week, LME zinc maintained the volatile trend of the previous week; subsequently, the "steel tariff" imposed by the Trump administration escalated global trade tensions, while the intensification of the Russia-Ukraine conflict earlier also led to a rapid rise in geopolitical risks, continuously strengthening market risk aversion and driving LME zinc prices higher; however, the subsequent conclusion of direct negotiations between Russia and Ukraine, as well as news of possible direct consultations between heads of major powers, weakened market risk aversion. Meanwhile, the US dollar index continued to strengthen, causing LME zinc to drop back slightly...

[Consumption in Some Sectors Gradually Weakens, Operating Rate of Zinc Oxide Declines] This week, the operating rate of zinc oxide enterprises was recorded at 59.50%, down 0.57% WoW. On the raw material side, zinc prices maintained a fluctuating trend during the week. Although some raw material prices dropped back slightly recently, enterprises still focused on just-in-time procurement, with relatively small changes in raw material inventories. In terms of finished product inventories, the demand for some end-user orders has slowed down recently, and the speed of downstream cargo pick-up has decreased. As a result, finished product inventories of zinc oxide enterprises have increased slightly...

[SHFE/LME Price Ratio Pulls Back to Near 8.4, Zinc Ingot Import Window Closes]: This week, the SHFE/LME price ratio pulled back to near 8.4, and the zinc ingot import window closed. From an overseas perspective, the "steel tariffs" imposed by the Trump administration once again escalated global trade tensions. Coupled with the intensification of the Russia-Ukraine conflict, geopolitical risks rose rapidly, and market risk-averse sentiment continued to strengthen, driving up LME zinc prices.