SHFE zinc rose during the night session, focus on today's domestic economic data release [SMM Zinc Morning Comment Oct 18]

The European Central Bank cut interest rates by 25 basis points again; US September retail sales growth slightly exceeded expectations; Israel claimed to have killed Hamas leader Sinwar; Hezbollah: confrontation with Israel has entered a new escalation phase; several major banks in China will lower deposit rates starting today; Vice Premier of the State Council: strengthen and improve the implementation of existing policies and a package of incremental policies; five departments: increase the credit scale of "white list" projects to 4 trillion yuan by the end of the year; Shanghai: the minimum down payment ratio for the second improved housing is adjusted to 25%.

Overnight, LME zinc opened at $3,045/mt, initially fluctuated along the daily moving average, reached a high of $3,093/mt, then quickly fell to a low of $2,978/mt. Subsequently, LME zinc rebounded from the low and rose above the daily moving average, finally closing down at $3,044/mt, down $18/mt, a decrease of 0.59%. Trading volume decreased to 11,044 lots, and open interest decreased by 2,230 lots to 252,000 lots. Overnight, LME zinc recorded a bearish doji, with the 40-day moving average providing support. LME zinc inventory increased by 1,275 mt to 241,800 mt, an increase of 0.53%. US September retail sales data growth slightly exceeded expectations, reinforcing market expectations for a 25 basis point interest rate cut by the US Fed, and market sentiment recovered somewhat, leading to a rebound in LME zinc during the session.

Overnight, the most-traded SHFE zinc 2411 contract opened at 24,630 yuan/mt, initially dipped to 24,625 yuan/mt, then rose all the way to a high of 25,075 yuan/mt. Near the end of the session, SHFE zinc maintained a fluctuating trend, finally closing up at 24,950 yuan/mt, up 405 yuan/mt, an increase of 1.65%. Trading volume decreased to 96,774 lots, and open interest decreased by 242 lots to 96,305 lots. Overnight, SHFE zinc recorded a bullish candlestick, with the 5-day moving average forming resistance. Driven by the overseas market trend and supported by weak supply, SHFE zinc rose all the way, recovering part of the previous losses. Focus on today's release of a series of economic data from China.