Zinc’s cash/three-month spread flips to contango after 10,000t fresh inflow

Zinc’s benchmark cash/three-month spread on the London Metal Exchange has moved into contango for the first time in five months after the largest inflow since last April brought on-warrant material to more than 50,000 tonnes.

This is the first time LME zinc’s on-warrant inventory has breached this level since August 2019. The galvanizing metal’s cash/three-month spread traded in a $1.50 per tonne contango at around noon UK time, after 10,000 tonnes were delivered into LME-registered warehouses in Vlissingen this morning. The LME zinc cash/three-month spread had traded in a $12.50 backwardation for most of this...

Published

Hassan Butt

February 07, 2020

15:35 GMT

London