Geopolitical Turmoil Resurges, LME Drags Down SHFE Zinc [SMM Zinc Morning Comment]

Published: Jun 11, 2026 08:52

Save

[SMM Zinc Morning Comment] Overnight, the most-traded SHFE zinc 2607 contract opened at 24,480 yuan/mt. It briefly rose to hit a high of 24,580 yuan/mt early in the session, then, as bulls reduced positions, SHFE zinc fluctuated downward and dipped to a low of 24,190 yuan/mt near the close, finally settling down at 24,280 yuan/mt, down 340 yuan/mt or 1.38%. Trading volume decreased to 93,109 lots, and open interest fell by 678 lots to 85,923 lots.

Overnight, LME zinc opened at $3,549/mt, briefly rising to touch a high of $3,520.5/mt, then bears added positions and LME zinc declined all the way to touch a low of $3,465.5/mt at the session's end, eventually closing down at $3,468.5/mt, down $77.5/mt or 2.19%. Trading volume increased to 17,248 lots, and open interest increased by 568 lots to 234,000 lots. Overnight, LME zinc formed a big bearish candlestick. Trump announced the resumption of “fierce strikes” against Iran, sparking market concerns over subsequent economic impact. The US dollar rebounded strongly, and LME zinc came under pressure and fell. It is expected to be mainly in the doldrums today.

Overnight, the most-traded SHFE zinc 2607 contract opened at 24,480 yuan/mt, briefly rising to touch a high of 24,580 yuan/mt, then bulls reduced positions and SHFE zinc fluctuated downward to touch a low of 24,190 yuan/mt at the session's end, eventually closing down at 24,280 yuan/mt, down 340 yuan/mt or 1.38%. Trading volume decreased to 93,109 lots, and open interest decreased by 678 lots to 85,923 lots. Overnight, SHFE zinc formed a big bearish candlestick. Geopolitical turmoil sparked market concerns over the subsequent economy, while China’s consumption remained weak. Under the lead of the external market, SHFE zinc closed lower. It is expected to fluctuate today.

Data Source Statement: Except for publicly available information, all other data are processed and derived by SMM based on public information, market communication, and SMM's internal database model. They are for reference only and do not constitute decision-making advice.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

1 hour ago

Data: SHFE, DCE market movement (Jun 12)

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on 12 Jun , 2026

1 hour ago

Geopolitical Risks Dominate Market, SHFE and LME Both Decline [SMM Market Review - Zinc Weekly Review]

[Geopolitical Risks Dominate Market, SHFE and LME Both Move Lower] At the start of the week, the situation in the Middle East remained volatile, and LME zinc fluctuated; subsequently, the US dollar index declined, and LME zinc rose; however, as market expectations for the US Fed to maintain higher interest rates for longer intensified and the US struck Iran, the center of LME zinc shifted lower; then, Trump announced the resumption of “heavy strikes” against Iran, the US-Iran ceasefire agreement was disrupted, and LME zinc quickly moved lower...

1 hour ago

Some enterprises began maintenance, zinc oxide operation rates declined [SMM Zinc Oxide Weekly Review]

[Some Enterprises Start Maintenance, Zinc Oxide Operating Rate Declines] End-use demand, currently no obvious highlights in the end-use demand for zinc oxide, and overall demand for electronic-grade zinc oxide orders is relatively stable; however, orders for rubber-grade and feed-grade zinc oxide are affected by rising raw material prices for end-use products and mediocre market demand, resulting in mediocre market demand...

1 hour ago