RE:359,150chaney wrote:
Down 2,700. So all this sell-off in zinc makes sense. Is it just algorithms at play?
Right now the zinc market just doesn't care about LME/Shanghai inventories going down. Someday it might* and the broadly predicted supply squeeze will happen.
*Three months ago I would have written 'Someday it will' but these days I'm not so certain.
I keep thinking about the Chinese billionaire who parked 6% of the world's aluminum in the Mexican desert for two years. It showed up on satellite photos. Apparently he was hoping to sneak it across the border into the states without paying import duties. That failed and the last i heard it was all loaded onto a small fleet of container ships that are now parked in a port in Vietnam.
When it comes to explaining the zinc price these days nothing would surprise me--algorithms, you name it.