Downstream Purchases at Low Prices, Premiums Slightly Adjusted Upward [SMM Shanghai Spot Market Weekly Review]

SMM September 5: Shanghai spot prices edged up slightly this week, with the weekly average price increasing by around 5 yuan/mt WoW. As of Friday, spot discounts of common domestic brands against the 2510 contract stood at 20-10 yuan/mt, while premiums of high-end brand Shuangyan against the 2510 contract reached 140 yuan/mt. Zinc prices dropped significantly during the week, prompting downstream enterprises to actively purchase at lower prices. Spot transactions improved WoW, leading to narrowing spot discounts. However, as futures declines paused later, wait-and-see sentiment reemerged among downstream buyers, with weak purchase willingness. Spot premiums struggled to rise. Given the absence of significant order improvements downstream, Shanghai premiums are expected to maintain fluctuating trend next week.