Tianjin Zinc: Downstream Has Mostly Started Holidays, Market Transactions Sluggish [SMM Midday Review]

SMM January 21: In the Tianjin market, mainstream transactions of 0# zinc ingot were at 24,250-24,400 yuan/mt, Zijin traded at 24,480-24,610 yuan/mt, and 1# zinc ingot traded around 24,040-24,150 yuan/mt. Huludao was quoted at 27,730 yuan/mt. The premium for ordinary 0# zinc against the 2502 contract was 90-140 yuan/mt, while Zijin's premium against the 2502 contract was 280-350 yuan/mt. The Tianjin market was at a discount of 50 yuan/mt compared to the Shanghai market. As of the midday close, there was no quotation for New Zijin against the 02 contract, Chihong 1# was quoted at 20-50 yuan/mt against the 02 contract, Xikang had no quotation against the 02 contract, Baiyin was quoted around 140 yuan/mt against the 02 contract, and the high-end brand Zijin was quoted at a premium of 280-350 yuan/mt against the 02 contract. The Tianjin spot-futures price spread was 100 yuan/mt. The futures market continued to rebound today. Downstream enterprises had mostly entered the Chinese New Year break, and there was almost no consumption in the Tianjin market. Many traders were engaged in year-end closing, resulting in fewer market quotations. Smelters continued to lower premiums for shipments, and overall transactions were poor.