Guangdong Zinc: Price Center Pulls Back, Market Transactions Mainly Based on Rigid Demand [SMM Midday Review]

SMM July 24: Guangdong 0# zinc mainstream transactions were at 24,580~24,690 yuan/mt, with mainstream brand quotations against the 2609 contract at -100~-70 yuan/mt, and at a discount of 45 yuan/mt against Shanghai spot cargoes, while the Shanghai-Guangdong price spread was maintained. Today, suppliers quoted Qilin, Mengzi, and Anning at discounts of 100~70 yuan/mt. The procurement sentiment for refined zinc in Guangdong was 1.94, and the sales sentiment was 2.47. The futures market moved lower, but the futures price center continued to consolidate at highs. Meanwhile, end-use demand was weak during the off-season, downstream enterprises showed moderate purchasing enthusiasm, and actual market transactions were mostly based on rigid demand.