inc is getting support at 133.2 and below same could see a test of 132.5 level, and resistance is now likely to be seen at 134.7, a move above could see prices testing 135.5.
MUMBAI: Zinc settled flat due to worries about Chinese demand as businesses wind down ahead of the Lunar New Year holidays next week. Major economic indicators released overnight were mixed. US job numbers were upbeat, but Greece rejected international bailout, causing market concerns over Greek exit from the eurozone to increase. When combined with Ukraine turmoil, risk aversion rose. US non-farm employment numbers released last Friday were upbeat, boosting the US dollar index and weighing on base metals prices.
China Customs reported over the weekend that China’s exports decreased 3.3% YoY in January, down for the first time since April 2014, while imports tumbled 19.9% YoY to the lowest since May 2009. As a result, the trade surplus expanded to a record high of USD 60.03 billion largely due to plummeting commodities prices. This, together with the dispiriting manufacturing PMI released earlier, pointed to considerable downward pressure facing the Chinese economy. LME zinc prices opened at USD 2,151/mt, then edged up to USD 2,160-2,170/mt, and but fell back to close at USD 2,157.5/mt, down USD 0.5/mt or 0.02%.
Trading volumes were down 2,093 to 6,703 lots, and total positions increased 4,241 to 286,686. LME zinc inventories fell 3,925 to 612,150 mt.. Technically market is under long liquidation as market has witnessed drop in open interest by -2.36% to settled at 4465 while prices remain unchange0 rupee, now Zinc is getting support at 133.2 and below same could see a test of 132.5 level, and resistance is now likely to be seen at 134.7, a move above could see prices testing 135.5.
Trading Ideas:
--Zinc trading range for the day is 132.5-135.5.
--Zinc settled flat due to worries about Chinese demand as businesses wind down ahead of the Lunar New Year holidays next week.
--China's annual consumer inflation hit a five-year low in January, underscoring persistent weakness in the economy after China's trade performance slumped in January.
--Zinc daily stocks at Shanghai exchange came up by 723 tonnes.
MUMBAI: Zinc settled flat due to worries about Chinese demand as businesses wind down ahead of the Lunar New Year holidays next week. Major economic indicators released overnight were mixed. US job numbers were upbeat, but Greece rejected international bailout, causing market concerns over Greek exit from the eurozone to increase. When combined with Ukraine turmoil, risk aversion rose. US non-farm employment numbers released last Friday were upbeat, boosting the US dollar index and weighing on base metals prices.
China Customs reported over the weekend that China’s exports decreased 3.3% YoY in January, down for the first time since April 2014, while imports tumbled 19.9% YoY to the lowest since May 2009. As a result, the trade surplus expanded to a record high of USD 60.03 billion largely due to plummeting commodities prices. This, together with the dispiriting manufacturing PMI released earlier, pointed to considerable downward pressure facing the Chinese economy. LME zinc prices opened at USD 2,151/mt, then edged up to USD 2,160-2,170/mt, and but fell back to close at USD 2,157.5/mt, down USD 0.5/mt or 0.02%.
Trading volumes were down 2,093 to 6,703 lots, and total positions increased 4,241 to 286,686. LME zinc inventories fell 3,925 to 612,150 mt.. Technically market is under long liquidation as market has witnessed drop in open interest by -2.36% to settled at 4465 while prices remain unchange0 rupee, now Zinc is getting support at 133.2 and below same could see a test of 132.5 level, and resistance is now likely to be seen at 134.7, a move above could see prices testing 135.5.
Trading Ideas:
--Zinc trading range for the day is 132.5-135.5.
--Zinc settled flat due to worries about Chinese demand as businesses wind down ahead of the Lunar New Year holidays next week.
--China's annual consumer inflation hit a five-year low in January, underscoring persistent weakness in the economy after China's trade performance slumped in January.
--Zinc daily stocks at Shanghai exchange came up by 723 tonnes.
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