Zinc social inventories expanded 300 mt on week

SHANGHAI, Nov 6 (SMM) – Zinc inventories in China rose slightly this week, with stocks in Guangdong and Tianjin rising relatively sharply.

SMM data showed that social inventories of refined zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei increased 300 mt in the week ended November 6 to 165,200 mt. The stocks rose 200 mt from Monday November 2.

Stocks in Shanghai decreased as inflow of imported zinc declined and demand for domestic zinc is relatively high in the market. Increased arrivals lifted inventories in Guangdong. In north China's Tianjin, arrivals of the smelter is normal, and the orders for downstream galvanised tubes are weak, leading to a continuous increase in local zinc inventories.

Stocks across the three major trading hubs (Shanghai, Tianjin and Guangdong) fell 100 mt this week, after a 4,500 mt increase last week.