This can only help,CSN Canada Stockwatch News reports TCK Post says Teck gets good news from China on zinc.
Monday May 26 2008
The Financial Post reports in its Monday edition the latest zinc trade data out of China came as a positive surprise to the market and should bode well for a balanced zinc market this year and next. The Post's David Pett, writing in FP Posted, says that is according to Desjardins analyst John Hughes. On Thursday, China said it imported net refined zinc totalling 4,672 tonnes in April, compared with net exports of 119,218 tonnes in the same period last year. Net imports from January to April now stand at 4,334 tonnes versus net exports of 119,218 tonnes during the first four months of 2007. "We view this as very positive -- recall that the market was expecting China to be a net exporter of zinc metal at an average monthly rate of 12,000 to 17,000 tonnes at the beginning of the year," Mr. Hughes said in a note to clients. The analyst said the country will record net imports of about 5,000 tonnes in May, 2008, and be a net exporter by 50,000 tonnes in 2008. In 2007, China exported net 126,159 tonnes of zinc. Mr. Hughes told clients the data support his forecast of a balanced zinc market in 2008 and 2009. He estimates average zinc prices of $1.25 (U.S.) per pound in 2008 and $1.50 (U.S.) per pound in 2009.