Tianjin Zinc: Zinc Prices Pull Back but Remain High, Downstream Waits on the Sidelines [SMM Midday Commentary]

SMM, September 2: In the Tianjin market, #0 zinc ingot was mainly traded at 26,320-26,750 yuan/mt, Zijin was traded at 26,530-26,950 yuan/mt, and #1 zinc ingot was traded near 26,340-26,690 yuan/mt. Zijin was quoted at a premium of 70-150 yuan/mt against the 2610 contract, Huxin was quoted at 27,825 yuan/mt, and #0 zinc ingot was quoted at a discount of 50-140 yuan/mt against the 2610 contract. The Tianjin market was quoted at a discount of 55 yuan/mt against the Shanghai market. As of the midday close, the high-priced brand Zijin was at a premium of 70-150 yuan/mt against the 2610 contract, and Xinzi was quoted at a discount of 70 yuan/mt against the 2610 contract. Today, the purchasing sentiment for refined zinc in the Tianjin region was 1.68, and the selling sentiment was 2.37. Futures pulled back slightly, but zinc prices remained high and had not reached downstream psychological price levels. Downstream buyers were cautious about high prices and refrained from inquiries or cargo pick-up. Trader shipments increased, and selling premiums held steady. Overall market trading was poor today.