Electricity prices in high energy-consuming industries have risen, and zinc prices have fluctuated greatly. First, the cost of electricity accounts for zinc smelting, and then the support of zinc smelting cost to zinc price is more and more fragile. The weak overall supply and demand aggravated the recent high zinc price fluctuation. The market expects that the supply of zinc ore will gradually increase, which will put pressure on the price of zinc. However, at present, the global tradable zinc mines are still tense and not as loose as the market expected. .

First, the compensatory increase of zinc price.

From the trend of the year, the price of zinc remained high and fluctuated, but it began to accelerate after 10. Mike Futures believes that with the continuous advancement of limited production, the pricing logic of zinc promoted by the mining end has changed, and domestic supply and demand are weaker than expected in the peak season, and the larger expected difference of supply-side contraction gives zinc prices upward momentum; Energy shortages and refinery production cuts have aggravated overseas supply concerns. Due to multiple factors, zinc price, which was relatively weak in the early stage, has demand for compensatory increase, and the operating range has been broken. Due to the reduction of production by European zinc smelting enterprises and other factors, the market's concern about the reduction of production by zinc smelting enterprises has further intensified, and the support for the upward momentum of zinc market has increased, and the zinc market remains strong in the short term.

Second, the reasons for the recent rise in zinc prices

The high price of zinc fluctuates greatly, and the weak overall supply and demand makes the recent high price of zinc fluctuate, and the game between long and short sides is fierce. The upstream zinc mines are not as loose as expected, but at present, the global tradable zinc mines are still tight, the processing fees are still fluctuating at a low level, and the price of zinc mines is revised with the price of zinc. Smelters reduced production to inventory, and Northwest Smelter centralized overhaul, which led to a decrease in the supply of zinc ingots, pushed up the price of zinc in the short term, and then fell back due to weak demand. The reduction of refined zinc production has also led to a rapid decline in inventory in the near future. Downstream zinc plating demand continues to be sluggish.

As can be seen from the above, although the domestic report predicts that the zinc mine output will increase this year, the market will gradually repair the supply gap of zinc mines and alleviate various hidden dangers at present, it is really sad and optimistic about the relief of the supply side. The fluctuation factors of zinc price are closely related to factors such as electricity price and complement each other.