Zinc - Market trends and analysis

摘要

Zinc prices dropped as far as $1,937/tonne on Monday March 24, but have not been lower than that. The weakness was on the back of concerns that, like copper, zinc being used as collateral against loans from China's shadow banking system could be liquidated should the borrowers default. If there is to be a fire-sales of zinc in China then prices may well spike lower, but for now we feel that it is premature to expect this.