Tianjin Zinc: Futures market rebounds, premiums continue to decline [SMM Midday Review]

SMM News on June 24: In the Tianjin market, the mainstream transactions for #0 zinc ingots were in the range of 22,080-22,180 yuan/mt, with Zijin transactions in the range of 22,120-22,230 yuan/mt, and #1 zinc ingot transactions around 21,920-22,020 yuan/mt. Huludao reported prices at 25,510 yuan/mt. The premium for ordinary #0 zinc against the 2507 contract was around 40-50 yuan/mt, while Zijin reported a premium of around 80-100 yuan/mt against the 2507 contract. The Tianjin market was quoted at a discount of around 50 yuan/mt compared to the Shanghai market. By the close of the morning session, Xinzi was quoted at 50 yuan/mt against the 07 contract, and Chihong was quoted at around 40-50 yuan/mt against the 2507 contract. High-end brand Zijin was quoted at a premium of around 80-100 yuan/mt against the 07 contract. Zinc prices have rebounded to a level that is difficult for downstream consumers to accept, resulting in low purchase willingness. With the upcoming execution of new long-term contracts, traders continue to lower premiums to facilitate sales, leading to a further decline in premiums. Transactions are mainly occurring among traders, with overall market activity remaining weak.