The SHFE/LME zinc price ratio declined and oscillated near 8.0, with the import window for zinc ingot remaining closed [SMM Weekly Review on SHFE/LME Zinc Price Ratio]

SMM August 8 News: This week, the SHFE/LME zinc price ratio dropped back slightly and fluctuated around 8.0, with the import window for zinc ingots remaining closed. Overseas, influenced by the US non-farm payrolls data last week being significantly lower than expected, US Fed officials stated that the number of interest rate cuts this year might exceed two. Meanwhile, LME zinc inventory continued to decline below 100,000 mt, with strong overseas market capital strength driving LME zinc prices higher. Domestically, affected by weak macroeconomic conditions, SHFE zinc prices dived at the beginning of the week. The increased expectations for a US Fed interest rate cut boosted LME zinc prices, and SHFE zinc prices rose under the influence of overseas markets. Domestic zinc ingot inventory continued to build up, and SHFE zinc prices fluctuated. Given the persistent situation where overseas market outperforms domestic market, the SHFE/LME zinc price ratio was in the doldrums. It is expected that next week, the SHFE/LME zinc price ratio may maintain a fluctuating trend.