Zinc extends rally as supply squeeze bites

ZINC climbed to its highest level in more than four years as supply disruptions tightened the market, Bloomberg reported.The metal, used mainly to galvanise steel, rose as much as 2.5% to $3,980.50 a ton on the London Metal Exchange (LME) on Tuesday before paring gains.Prices have been supported by disruptions to mine supply, including in China, while the war in the Middle East has curtailed Iranian ore shipments.China is also expected to increase exports of refined zinc to ease tightness in global markets.Zinc has now risen for five consecutive months and is up 27% this year, outperforming copper and aluminium.Inventories in LME warehouses have increased recently but remain below 100,000 tons and are low by historical standards.Tight ore supply has also pushed smelter treatment charges sharply lower. Fees fell to minus $117.50 a ton at the end of August, reflecting tougher terms for smelters competing for available concentrate.Copper also strengthened on Tuesday, gaining 0.6% to $14,382 a ton on the LME. Prices have been supported by large shipments of copper to the US, which have reduced supplies available elsewhere.The post Zinc extends rally as supply squeeze bites appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com