[SMM Zinc Morning Comment] Overnight, the most-traded SHFE zinc 2604 contract opened at 23,930 yuan/mt. In early trading, SHFE zinc briefly rose to a high of 23,970 yuan/mt, then bulls reduced open interest, dragging the price center lower and leaving it in the doldrums. It touched a low of 23,820 yuan/mt during the session and finally closed down at 23,880 yuan/mt, down 25 yuan/mt, or 0.1. Trading volume fell to 29,661 lots, while open interest decreased by 531 lots to 76,786 lots.

[SMM Tin Midday Review: The Center of the Most-Traded Contract Rebounded Slightly, and Market Transactions Weakened After Downstream Enterprises Restocked]

[SMM Tin Morning Briefing: The Most-Traded SHFE Tin Contract Opened Slightly Higher in the Night Session and Hovered at Highs, While Downstream Enterprises Showed Relatively Strong Purchase Willingness]

SMM, March 17: Aluminum ingot: Today, sentiment in the Foshan A00 spot aluminum market recovered moderately. The rebound in early-session futures prices drove spot prices higher, and suppliers took the opportunity to accelerate cashing out. Traders showed moderate willingness to purchase, while major players held prices firm in procurement, but downstream buyers were unwilling to rush to buy amid continuous price rise. In the afternoon, futures moved downward, buyers turned cautious, and transactions started steady before weakening, with overall performance showing a mild rebound. Aluminum billet: Today, the average processing fees for SMM 6063 aluminum billet (Guangdong) were 70 yuan/mt for Φ90/100 and 20 yuan/mt for Φ120 and above, down 80 yuan/mt from yesterday. The rise in the base price caused processing fees to continue to decline, while weaker intraday futures prices intensified downstream bearish sentiment, with procurement mainly driven by immediate needs. After futures surged and then pulled back, offers were lowered accordingly. Market inquiries were scarce, transactions were sluggish, and even volume discounts remained ineffective in stimulating deals.

Gold is a widely known safe-haven asset and tends to benefit during geopolitical turmoil, but the metal has remained largely range-bound amid the latest Middle East conflict involving Iran, the United States and Israel.

[SMM Morning Meeting Summary: Geopolitical Turmoil Resurfaced, LME Zinc Came Under Pressure] Overnight, LME zinc opened at $3,297.5/mt. In early trading, bears increased open interest, dragging the center of LME zinc lower as it fluctuated downward throughout the session, and it hit an intraday low of $3,255/mt during European trading hours. The center then rebounded. Trading was suspended for about three hours due to technical issues during the period. After reopening, LME zinc touched a high of $3,306.5/mt, before the center moved lower again, and it finally closed down at $3,279/mt, down $14.5/mt, a decline of 0.44%. Trading volume increased to 7,502 lots, and open interest rose by 2,947 lots to 218,000 lots.

The 2026 SMM (3rd) Global Renewable Metal Industry Chain Summit & Battery Recycling Forum will be held in Tokyo, Japan, from May 11–12, 2026. The summit aims to bring together leading global enterprises, research institutions, industry experts, and policymakers in the fields of renewable metals and battery recycling.

Today, the most-traded BC copper 2604 contract opened at 88,450 yuan/mt. After the opening, it hovered at highs and then climbed to 88,940 yuan/mt, before its center moved all the way downward and fell to 87,730 yuan/mt near the close. It finally settled at 87,780 yuan/mt, down 0.37%. Open interest stood at 5,599 lots, down 113 lots from the previous trading day, and trading volume was 3,458 lots, down 1,917 lots from the previous trading day. On the macro front, Israel launched large-scale attacks in Tehran, Iran and Beirut, Lebanon, while a tanker anchored in the Gulf of Oman was hit by an unidentified projectile. Oil prices rose, intensifying market concerns over US inflation and weighing on copper prices. Fundamentally, arrivals of both imported and domestic cargoes remained stable, and overall supply was ample. Demand side, the slight increase in copper prices somewhat suppressed downstream purchase willingness, with buying maintained at just-in-time procurement levels. The SHFE copper 2604 contract closed at 99,340 yuan/mt. Based on the BC copper 2604 contract price of 87,780 yuan/mt, its tax-inclusive price was 99,191 yuan/mt. The price spread between the SHFE copper 2604 contract and BC copper was 149 yuan/mt, and the spread remained in a contango structure, narrowing from the previous day.

Dalian iron ore futures were generally stronger today. The most-traded contract, I2605, eventually closed at 816.5 yuan/mt, up 1.81% from the previous trading session. Meanwhile, the spot price rose by about 5 yuan from the previous trading day. Traders were moderately active in offering quotes, while steel mills made relatively few inquiries. Overall spot market transactions were limited. The latest SMM survey showed that the impact of blast furnace maintenance on hot metal production was 1.751 million mt, down 250,000 mt WoW. This impact is expected to further decline by 229,800 mt next week to 1.522 million mt. As blast furnace maintenance intensity gradually eases, iron ore demand is expected to show signs of rebounding in the short term. Looking ahead, although current port iron ore inventory has reached 155 million mt, the overhang is mainly concentrated in certain varieties. Overall, market demand for some high-demand varieties has seen a structural shift. In particular, varieties represented by IOCJ fines and PB lumps continued to destock rapidly, while MAC fines and Indian fines saw an inventory buildup. The structural contraction on the supply side is expected to lend favorable support to iron ore fundamentals in the short term. Therefore, iron ore prices are expected to fluctuate at highs or remain relatively strong this week.

[SMM Zinc Morning Comment] Last Friday, the most-traded SHFE zinc 2604 contract opened at 24,205 yuan/mt. In early trading, SHFE zinc briefly rose to a high of 24,255 yuan/mt, then bears added to their positions, sending SHFE zinc fluctuating downward all the way to a low of 24,070 yuan/mt near the close. It finally closed down at 24,080 yuan/mt, down 60 yuan/mt, or 0.25%, with trading volume falling to 37,382 lots and open interest increasing by 1,553 lots to 76,744 lots.