SMM October 23:
The most-traded SHFE zinc 2512 contract opened at 22,155 yuan/mt. After opening, SHFE zinc fluctuated upward throughout the session, hitting an early low of 22,135 yuan/mt and a late high of 22,345 yuan/mt, finally settling at 22,345 yuan/mt, up 205 yuan/mt or 0.93%. Trading volume increased to 90,105 lots, while open interest fell by 3,688 lots to 125,000 lots. SHFE zinc formed a bullish candlestick, with the upper Bollinger Band acting as resistance. The LME zinc backwardation structure refreshed multi-year highs. Strong gains in LME zinc prices significantly pulled up domestic zinc prices, leading SHFE zinc to rise during the day. Additionally, SMM zinc ingot inventory recorded a slight decrease on Thursday, and the zinc ingot export window recently opened, with some export volumes flowing out. Continued attention will be paid to subsequent zinc ingot export developments.
