Premiums and discounts in Guangdong rose about 10 yuan/mt WoW. As of Friday, mainstream Grade 0 zinc was quoted at a discount of 5 yuan/mt in Guangdong, and the Shanghai-Guangdong price spread widened slightly. Zinc prices continued to rise WoW, reaching a one-year high, while downstream enterprises showed clear fear of high prices and purchasing demand remained weak. However, low inventory in Guangdong provided some support for premiums and discounts. The Shanghai-Guangdong price spread narrowed WoW, reducing cross-regional trade opportunities. Coupled with production resumptions at some smelters, this was expected to create some resistance to further increases in premiums and discounts.
