“Everything is headline driven at the moment. Supply issues sent prices higher and there was some decent Chinese buying at the start of the week. Then there was a big shake out and then yesterday everyone stood away in small volumes,” an LME trader said.
“Prices have done a lot recently so there was always going to be a period of consolidation. But investors are still friendly towards metals, so I think they will work higher again,” he added.
Zinc softer on increased availability in New Orleans
• Three-month zinc is $5 lower on the previous day’s close at $2,865 per tonne. Earlier this week, it had looked set to test $2,985 – a break above this level would have taken it to multi-year highs.
• “Zinc has also caught a decent bid today with onshore buying mopping up residual Western selling after what was a poor close yesterday. The...