Zinc - SHMET Import Market Briefing 20170808

Date 8/9/2017 11:14:41 AM Source: SHMET

Zinc Premiums in Shanghai bonded and CIF shanghai seem rather quiet these days, still around $165-$175/mt and $155-$165/mt respectively. Yesterday LME C-3m valued remained unchanged at $10 while the SHFE Spot/LME 3M arb saw a slightly rise of 0.02 to 8.39, indicating an spot import loss of RMB150/mt and that deeper in forward market, about RMB460/mt. Custom duty exempted brands, Australian and Korean, can have a gain of RMB80/mt in spot import market but still may lose RMB220/mt for forward import. Due to high level of domestic inventory, imported Zinc is struggling to keep high premiums whilst domestic trading turns down into the discount area. Traders are hoarding duty free brands, hence small volume reached.

Edited by SHMET