Historic backwardation sends European zinc premiums to lowest since 2005
- The European zinc premium fell to a historical low amid a record high LME backwardation
- Taiwan zinc premium decreases for the first time since mid-December
- Other Asian zinc premiums unchanged with the spot market very quiet
- The Indian lead premium surges amid increased buying interest after the LME lead price drops
- United States’ zinc, lead markets stable
Zinc premiums in Europe dropped further this week to a historic low level concurrent with LME spreads being in their steepest backwardation since 2006.
Fastmarkets assessment of the premium for special high grade (SHG) zinc, fca Rotterdam
was at $85-100 per tonne on Tuesday May 14, compared with $90-102 per tonne on May 7, its lowest level since the assessment launched in January 2017.
This is the second week that both premiums are trading at parity, with Fastmarkets' assessment of the premium...