SHFE Zinc Consolidates During the Day, Awaiting Evening Non-Farm Payrolls Data [SMM Zinc Futures Brief Review]

SMM November 20 News:

The most-traded SHFE zinc 2601 contract opened at 22,440 yuan/mt. At the beginning of the session, bears reduced their positions, and SHFE zinc fluctuated downward throughout the session, hitting a low of 22,380 yuan/mt toward the close. It finally closed down at 22,385 yuan/mt, falling 50 yuan/mt or 0.22%. Trading volume dropped to 48,772 lots, while open interest increased by 1,982 lots to 88,862 lots. SHFE zinc recorded a large bearish candlestick. According to SMM communication and surveys, as of this Thursday (November 20), the total zinc ingot inventory across seven SMM-tracked locations stood at 152,700 mt, down 5,200 mt from November 13 and 3,900 mt from November 17, indicating a decline in domestic inventory. However, macro sentiment remained weak, and consumption was still weak on a YoY basis. Funds were awaiting the non-farm payrolls data in the evening. SHFE zinc was expected to mainly fluctuate during the evening session.