SHFE/LME price ratio fluctuated around 7.3, zinc ingot export window opens [SMM Weekly SHFE/LME Zinc Price Ratio Review]

SMM October 25: This week, the SHFE/LME zinc price ratio continued to fluctuate around 7.3, and the import window for zinc ingots remained closed. Overseas, China's strong GDP data and market optimism about the end of the US government shutdown boosted market sentiment. Overseas inventories continued to decline, and recent cautious optimism from Trump on China-US trade relations further lifted positive sentiment, pushing LME zinc higher. Domestically, China's GDP grew 5.2% YoY in the first three quarters, with strong data gradually fostering positive market sentiment. After the Fourth Plenary Session concluded, officials reiterated opposition to "involutionary" competition, keeping market sentiment relatively upbeat and supporting SHFE zinc. With LME outperforming SHFE, the SHFE/LME ratio remained stable at a low level. Next week, the ratio is expected to hold steady.