Strong supply and weak demand persist, SHFE zinc maintains fluctuating trend [SMM zinc futures brief comment]

SMM News on August 6:

       The most-traded SHFE zinc 2509 contract opened at 22,285 yuan/mt. After opening, SHFE zinc dipped to 22,250 yuan/mt. Subsequently, bears reduced their positions, and SHFE zinc rose steadily above the daily average line, touching a high of 22,410 yuan/mt. It finally closed flat at 22,380 yuan/mt, with trading volume increasing to 89,569 lots. SHFE zinc recorded a four-day winning streak, with the 10/20-day moving averages above exerting pressure and the 40/60-day moving averages below providing support. Currently, it is still in the off-season for consumption, and the market remains cautious about short-term consumption demand. Meanwhile, the domestic supply side remains relatively loose, and the fundamental pattern remains unchanged. More macro perspective news can be followed up subsequently.