Zinc social inventories shrank 3,300 mt on week

SHANGHAI, Jun 4 (SMM) – Zinc inventories in China fell this week.

SMM data showed that social inventories of refined zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei decreased 3,300 mt in the week ended June 4 to 152,200 mt. The stocks fell 2,200 mt from Monday May 31.

Stocks in Shanghai decreased as arrivals of import zinc and domestic zinc were limited, and the downstream still had rigid demand. In south China's Guangdong, downstream demand weakened, which led to the decrease in stocks. Stocks in Tianjin fell as the rise in steel prices led to the recovery of some downstream orders and inventories of zinc ingots in enterprises were low, bringing about a certain purchasing demand.

Stocks across the three major trading hubs (Shanghai, Tianjin and Guangdong) fell 2,600 mt this week, after an 8,600 mt decrease last week.