A large backwardation in the cash/three-month spread put pressure on global zinc markets in the week to Tuesday April 23 with premiums in Europe at their lowest levels since 2009; while in the United States, market participants are still awaiting a second-quarter boost.
European zinc market falls to 2009 low. US market unchanged, participants hopeful for uptick. Chinese zinc premium falls amid import loss.European zinc premiums slide to double digits Zinc premiums across Europe dropped this week on tight spreads and hand-to-mouth purchases settled at double-digit levels. Fastmarkets' premiums on a duty-paid fca basis for Rotterdam and Antwerp both dropped to $95-100 per tonne on Tuesday from $105-115 per tonne a week ago. That is the lowest level for both premiums since August 2009. Several small parcels of over 100 tonnes were being traded in the high $90s per tonne, while market participants cited limited spot demand after the Easter holidays. European market participants were mostly out of the market from Good Friday to Easter Monday (April 19-22). Tightness in spreads is also one of the key reasons for weak demand. The backwardation in the cash/three-month spread on the London...