Tianjin Zinc: Sluggish Market Transactions, Premiums Continue to Decline [SMM Midday Review]

SMM January 22 News: In the Tianjin market, mainstream transactions of 0# zinc ingot were at 24,120-24,300 yuan/mt, Zijin traded at 24,260-24,530 yuan/mt, and 1# zinc ingot traded around 23,940-24,100 yuan/mt. Huludao was quoted at 27,570 yuan/mt. The premium for ordinary 0# zinc against the 2502 contract was around 60-90 yuan/mt, while Zijin's premium against the 2502 contract was around 200-320 yuan/mt. The Tianjin market had a discount of 20 yuan/mt compared to the Shanghai market. As of the midday close, there were no quotes for New Zijin against the 02 contract, Chihong 1# against the 02 contract, or West Mine against the 02 contract. Baiyin was quoted at around 60-90 yuan/mt against the 02 contract, while the high-end brand Zijin was quoted at a premium of 200-320 yuan/mt against the 02 contract. The Tianjin spot-futures price spread was 55 yuan/mt. The futures market maintained a fluctuating trend today, with downstream restocking mainly for small-scale rigid demand. Overall demand was weak, as many traders were engaged in year-end closing, leading to fewer market quotes. Smelters were also gradually closing accounts, resulting in overall poor transactions.