Zinc Prices Pull Back from the Center, Spot Premiums/Discounts Rise [SMM Guangdong Spot Market Weekly Review]

       Premiums and discounts in Guangdong rose by about 5 yuan/mt WoW. As of Friday, mainstream #0 zinc quotations in Guangdong were at discounts of 105~50 yuan/mt, and the Shanghai-Guangdong price spread held steady. Spot supply in Guangdong remained relatively ample, and with overall end-use consumption weak, traders increased their deliveries. Zinc prices pulled back amid fluctuations during the week, prompting some downstream enterprises to make purchases at lower prices, leading to a phased improvement in transactions. Spot discounts narrowed slightly from their lows. Currently, only a small number of end-users in Guangdong have halted production for holidays. Pre-holiday stocking demand from mainstream producers is expected to persist next week, providing some support to transactions. However, given the ample spot supply, the increase in discounts is likely to be limited.