GLOBAL ZINC & LEAD WRAP: Weak demand pressures zinc premiums in Asia; India secondary lead premium at record high

Selling pressure amid a steep backwardation in London Metal Exchange zinc and a demand slowdown in the upcoming off-season pushed zinc premiums in Asia down this week, except Taiwan, while strong demand for secondary lead in India, caused by the LME price drop, sent cargo premiums to a record high.

The zinc premium in Asian regions, except Taiwan, slides on very low buying interest European zinc premium stable but still under pressure The Indian secondary lead premium reaches a historic high after the LME price drop The United States zinc, lead market stable while manufacturing slows Zinc premiums in Asia suppressed by sluggish demand The Asian zinc premium is moving downward amid a wide backwardation in the LME zinc spread and low buying interest ahead of the seasonal lull. Fastmarkets assessment of the premium for special high grade (SHG) 99.995% purity zinc fell to $90-100 per tonne, cif Shanghai, on Tuesday June 4, down by $10 on both ends of the range against one week earlier. Fastmarkets assessment of the premium for Shanghai-bonded in-warehouse zinc slid by $10 on both ends of the range to $100-110 per tonne on June 4, from $110-120 per tonne on May 28....


Anna Xu

Archie Hunter

Julian Luk

Rijuta Dey Bera

June 05, 2019

12:15 GMT

Shanghai, London, New York