Spot Premiums Recovered Slowly, but the Center Was Expected to Move Lower Next Week [SMM Guangdong Spot Weekly Review]

       Spot premiums in Guangdong rose by about 30 yuan/mt WoW. As of this Friday, mainstream 0# zinc in Guangdong was quoted at a discount of 80 yuan/mt, and the Shanghai-Guangdong price spread widened. As downstream players gradually resumed operations and production, zinc ingot circulation in Guangdong became more active this week, with increased downstream procurement, which drove spot premiums higher. Looking ahead to next week, major producers have recently had deliveries for long-term contracts, while consumption has not fully recovered and enterprise procurement has mostly been driven by immediate needs. In addition, Guangdong will conduct contract rollover quotations in the first half of the week. With SHFE zinc still in a contango structure, spot premiums are expected to trend lower next week under the impact of the contract rollover.