stargatemegaways| Zinc mine is tight: Supply is revised downwards to resist weak demand pressure, and zinc prices break through in the short term

News summary

The tight supply of zinc mines has caused price shocks, and the reduction in supply is expected to alleviate the impact of falling demand.stargatemegawaysDue to the pressure, domestic demand is expected to recover from March to May and zinc prices may break through.

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Zinc: tight supply may drive price breakthroughs

Recently, zinc prices have fluctuated near the cost line due to demand falling short of expectations. However, due to the tight supply of zinc mines, the supply volume has declined, which has eased the pressure on market balance and can withstand the excess pressure caused by deteriorating demand.

In terms of short-term focus, from March to May, domestic demand was affected by weak steel prices, and the willingness to replenish stocks declined. But at the same time, production cuts in smelting have also reduced supply, allowing the market volatility pattern to be maintained against the background of improved macro atmosphere, creating conditions for an upward breakthrough in zinc prices.