SMM December 19: This week, Shanghai spot cargo quotations continued their upward trend, with the weekly average price rising 25 yuan/mt WoW. As of Friday, the premium for ordinary domestic brand zinc ingot against the 2601 contract was 220 yuan/mt, while the high-priced brand Shuangyan had no offer against the 2601 contract. Although some zinc ingots from Guangdong recently flowed into the Shanghai market, zinc prices saw a significant pullback during the week. Some downstream consumers placed orders at lower prices to pick up goods. Coupled with reduced arrivals in the Shanghai market due to production cuts at some smelters, Shanghai zinc ingot inventory showed no growth WoW. Traders continued to hold prices firm, and overall spot premiums continued to rise. With tight supply showing no improvement, spot premiums are expected to remain high next week.
