Tianjin Zinc: Futures market is relatively high, premium continues to decline [SMM Midday Review]

SMM reported on June 26: In the Tianjin market, mainstream transactions for #0 zinc ingot were concluded at 22,180-22,310 yuan/mt, with Zijin transactions concluded at 22,200-22,340 yuan/mt. Transactions for #1 zinc ingot were concluded around 22,060-22,170 yuan/mt, while Huludao reported prices at 25,620 yuan/mt. The premium for ordinary #0 zinc against the 2507 contract was reported around 0-40 yuan/mt, and the premium for Zijin against the 2507 contract was reported at a premium of around 20-60 yuan/mt. The Tianjin market was reported at a discount of around 70 yuan/mt compared to the Shanghai market. By the close of the morning session, Xinzi reported a premium of 0-40 yuan/mt against the 07 contract, while Chihong reported a premium of around 20-30 yuan/mt against the 2507 contract. High-end brand Zijin reported a premium of around 20-60 yuan/mt against the 07 contract. Zinc prices continued to fluctuate at highs, with downstream buyers cautious due to high prices. As new long-term contracts began to be executed, some downstream buyers waited for their long-term contracts, resulting in fewer inquiries. Traders continued to lower premiums to facilitate sales, leading to a continuous decline in premiums and weak overall market transactions.