Shanghai Zinc: Downstream Buyers Priced on Dips Yesterday, Transactions Turned Sluggish Today [SMM Midday Review]

SMM, January 16: Today, mainstream transaction prices for 0# zinc were concentrated at 24,075-24,350 yuan/mt, with no quotations for Shuangyan. Mainstream transaction prices for 1# zinc were at 24,005-24,280 yuan/mt. In the early trading session, the market spot premiums over the average price were around 0-10 yuan/mt, with almost no follow-up quotations. During the second trading session, ordinary domestic zinc was quoted at premiums of 390-400 yuan/mt against the 2502 contract, Huize was quoted at a premium of 520 yuan/mt against the 2502 contract, while high-priced brand Shuangyan had no quotations against the 2502 contract. Zinc prices fell significantly yesterday afternoon, prompting downstream enterprises to make more purchases at low prices. Today, the futures market rebounded compared to yesterday, weakening the purchasing sentiment of enterprises. Overall transactions were average today, and with traders actively selling, spot premiums in the market continued to decline.