SMM Morning Comment For Zinc Market On October 9

SHANGHAI, Oct 9(SMM) – Last Friday, LME zinc opened at $2,465/mt. It fluctuated around $2,475/mt, then rose rapidly, and finally closed at $2,499/mt, up $32.5/mt, or 1.32%. Trading volume increased to 6,299 lots, and open interest rose by 802 lots to 229,000 lots. Last Friday, LME Zinc met resistance at the 5-day moving average, forming a suppression for prices. LME inventories decreased by 1,600 mt to 94,375 mt, recording a decrease. Last Friday, SHFE zinc was suspended during the National Day holiday. The US non-farm payrolls data for September greatly exceeded expectations. The US dollar index quickly fell back to lows after rising. The upward pressure of LME zinc was weak, and despite the continuous decline previously, it rebounded slightly. Domestically, since the extent of inventory accumulation was less than expected, coupled with downstream consumption and replenishment, the downside space for SHFE zinc is predicted to be limited in the short term.