Zinc social inventories shrank 4,700 mt on week

SHANGHAI, Apr 9 (SMM) – Zinc inventories in China fell this week.

SMM data showed that social inventories of refined zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei decreased 4,700 mt in the week ended April 9 to 228,800 mt. The stocks rose 400 mt from Tuesday April 6.

Zinc prices decreased sharply before Qingming holiday, and downstream restocking demand increased when prices dropped, which led to an increase in the outbound quantity. After the holiday, the downstream still picked up the goods one after another, while with the rising zinc prices, the demand for downstream procurement was suppressed on week, and there were basically a small amount of purchases on rigid demand.

Stocks across the three major trading hubs (Shanghai, Tianjin and Guangdong) fell 4,600 mt this week, after a 13,700 mt decrease last week.