--Zinc ended the yesterday's trading higher by 0.8% at the LME platform. By the end of the yesterday`s trading session zinc closed at $1968/MT mark.
--Broadly the zinc stocks have been declining since last two months as per the latest data available at the LME designated warehouses zinc stocks are presently at 845,425 MT which is the lowest levels witnessed since February 2012. However cancelled warrant for the commodity has declined from 575,750 MT to 257,875 MT which is the lowest levels witnessed in the last three months indicating lack of immediate requirement for the metal. The positivism on the inventory front is being negated by the cancelled warrants.
--During the day, we recommend buying Zinc from the lower levels as the premiums in shanghai increased by 38% to $172.50 a ton when compared to previous year indicating a healthy demand from China.