SHFE Zinc has been supported and moved upward [SMM Zinc Morning Comment]

Overnight, LME zinc prices opened at US$2,581/ton and reached a low of US$2,567/ton during the period. During the European trading session, LME zinc prices moved up and hit a high of US$2,605.5/ton, finally closing at US$2,587/ton, up US$0.5/ton, or 0.02%. The trading volume decreased by 3,005 lots to 9,137 lots, and the open interest decreased by 4,156 lots to 216,000 lots. LME zinc inventory fell by 2,100 tons to 193,475 tons, a decrease of 1.07%. The initial value of the annualized real GDP in the United States in the fourth quarter exceeded expectations and recorded 3.3%. Economic data are relatively strong and inflationary pressures have eased, driving the U.S. dollar index to rise, putting pressure on LME zinc. However, LME inventories have continued to fall to recent lows. With fundamental support, LME zinc moved rangebound.
The most interest-traded SHFE 2403 zinc contract opened at 21440 yuan/mt last evening and settled at 21440 yuan/mt, up 95 yuan/mt or 0.45%. Trading volume decreased 59492 to 42951 lots, and open interest gained by 872 lots to 90,400 lots. Favourable policies, tight ore supply and the closed import window for refined zinc bolstered SHFE zinc prices.