July 2012 | Base Metals
Downside risks remain in force: Zinc - Market Analysis
Given the supply/demand surplus and the fact tighter spreads may make cash and carry deals less attractive, there seems a higher risk of zinc prices having to fall further to prompt production cutbacks. It may be that prices have to fall back towards the $1,650-$1,700/tonne level before cutbacks become more likely.
Inflow of stock into LME...
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