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Mineweb reported that the price of zinc has failed to get a lift despite a zinc deficit created by ongoing zinc mine closures.
Mineweb reported that the price of zinc has failed to get a lift despite a zinc deficit created by ongoing zinc mine closures.
As quoted in the market news:
After short lived gains in early 2015, the price of zinc sank in the past week or so from near $1/lb to the low $0.90s/lb.
The recent weakness in zinc comes on anemic metals trading amid the Chinese New Year, which recently ended.
Likewise, signs of a slowing Chinese economy, have injured the metal’s price.
Patricia Mohr, Scotiabank’s commodity specialist, stated:
Of the four key base metals — copper, zinc, nickel and aluminium — zinc is holding up the best at US$0.93 per pound, though prices have edged down from US$0.985 in December.
Base metal prices have been undermined by the negative sentiment caused by the fall in oil prices and a slowing Chinese economy. China’s Purchasing Managers’ Index for Manufacturing slipped into contractionary mode in January (below the 50 mark), indicating declining activity in manufacturing.