Overnight, LME zinc prices opened at $2499/mt, and closed at $2543/mt, up $44/mt or 1.76%. Trading volume decreased to 6355 lots, and open interest grew 1541 to 204,000 lots. LME zinc inventory increased by 900 mt to 211750 mt, an increase of 0.43%. The weak performance of the U.S. dollar index overnight provided support to LME Zinc, but business activities in the euro zone fell again in November, exacerbating concerns about economic recession.
The most-traded SHFE 2401 zinc contract opened at 20935 yuan/mt overnight and touched a high of 21060 yuan/mt before and closing at 21040 yuan/mt, up 135 yuan/mt or 0.65%. Trading volume reduced to 54720 lots, and open interest gained by 352 lots to 93984 lots. It is reported that for the first time in China, banks are allowed to provide unsecured working capital loans to real estate companies to increase the risk resistance of real estate; at the same time, after environmental protection and production restrictions are over, companies resume normal production.
