Zinc prices averaged USD 2,495 per metric ton in September, 3.8% higher than August’s price of USD 2,405 per metric ton. The average price was down 20.1% year on year. On 29 September, zinc traded at USD 2,643 per metric ton, up 9.4% month on month.
Prices rose in September, spurred by an improvement in Chinese demand conditions. The manufacturing PMI swung to expansionary terrain in September amid the Central Bank’s decision to reduce the reserve requirement ratio. Additionally, house sales gained ground month-on-month in September, buttressed by the government’s decision to allow the largest cities to reduce down payments and mortgage rates from 25 September. Zinc prices spiked at the tail-end of the month as canceled warrants in LME warehouses soared. Supply-wise, the closure of a mine in Portugal added to the upward pressure on prices.
High Grade Zinc LME (prices in US$/mt, aop)
Q1 2021 | Q2 2021 | Q3 2021 | Q4 2021 | Q1 2022 | Q2 2022 | Q3 2022 | Q4 2022 | |
---|---|---|---|---|---|---|---|---|
High Grade Zinc LME | - | - | - | - | 3,736 | 3,925 | 3,281 | 3,008 |