Guangdong Zinc: Average Market Transactions, Spot Premiums Decline [SMM Midday Review]

SMM January 15 News: In Guangdong, mainstream transactions of 0# zinc were at 23,645-24,155 yuan/mt. Mainstream brands quoted spot premiums of 415-465 yuan/mt against the 2502 contract and 60 yuan/mt against Shanghai spot, narrowing the Shanghai-Guangdong price spread. In the first session, suppliers quoted premiums of 415-465 yuan/mt for Qilin, Mengzi, and Lan zinc. As the futures market declined and downstream consumption approached its end, traders lowered premiums to facilitate sales. In the second session, premiums for Qilin, Mengzi, and Lan zinc against online prices were quoted at 435-445 yuan/mt. Overall, the futures market declined today, and some enterprises that had not yet closed for the holiday restocked at lower prices. Meanwhile, traders, concerned about further declines in premiums, reduced premiums to sell. Although the monthly price spread widened today, buying sentiment in the market remained weak, and spot premiums fell.