Spot #0 zinc was quoted with premiums of 310-370 yuan/mt over SHFE 2308 zinc contract last week, and discounts in Guangdong stood at a maximum of 70 yuan/mt against Shanghai prices. As the Dragon Boat Festival holidays approached, most traders sold cargoes aggressively, lowering spot quotes rapidly.
The decline in spot quotes bolstered the buying interest of some downstream companies. Downstream buyers purchased cargoes under small orders mainly as needed. This week, the decline in spot premiums may slow down.
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