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Zinc market fears unreported stocks could delay recovery

March 08, 2010 - 00:00 GMT

Concerns - Prices resilient even after recent surge in stocks

The threat of unreported zinc inventory continues to weigh on the market, according to market participants. “Unreported inventories exist on the zinc market,” Bank of America Merrill Lynch analysts said in a note last week. “If more metal becomes available, this could delay a recovery.” Zinc stocks in London Metal Exchange-bonded warehouses stand at 541,050 tonnes, close to its highest level since September 2005, compared with all-time lows of 58,100 tonnes in October 2007. But there is even more zinc stock out there that is off-warrant, according to market participants. “Supposedly there...

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