Guangdong Zinc: Futures Center Moves Higher, End-User Procurement Turns Cautious [SMM Midday Review]

SMM, July 22: The mainstream traded prices of Guangdong #0 zinc were 24,445~24,545 yuan/mt, with mainstream brand quotations against the 2609 contract at discounts of 90~70 yuan/mt and against Shanghai spot at a discount of 70 yuan/mt. The Shanghai-Guangdong price spread narrowed. Today, suppliers quoted discounts of 90~70 yuan/mt for Qilin, Mengzi, Anning, and Feilong brands. The purchasing sentiment for refined zinc in Guangdong was 1.98, and the selling sentiment was 2.50. Recently, the Shanghai-Guangdong price spread gradually widened, and there has been some sentiment to hold prices firm in the market. Some traders quoted high prices, leading to significant resistance to transactions; meanwhile, as futures rose today, downstream enterprises mainly adopted a wait-and-see approach to purchasing, and overall transactions were cautious.