Overnight, LME zinc prices opened at $2538/mt, rising to an intraday high of $2585/mt, and closed at $2577.5/mt, up $39/mt or 1.54%. Trading volume increased to 9816 lots, and open interest decreased 2191 lots to 203,000 lots. LME zinc stocks increased by 1200 mt or 0.58% to 207150 mt overnight. The weak US dollar overnight provided support to the metals.
The most-traded SHFE 2402 zinc contract rose 170 yuan/mt or 0.82% to close at 21015 yuan/mt last night. Trading volumes decreased to 49670 lots, with open interest down 3826 lots to 78666 lots. Basically, domestic mines entered a stage of seasonal production reduction. At the same time, social inventories continued to be destocked, and the import window is closed, which supported SHFE zinc prices.
