Wednesday, November 18, 2015

Zinc Nosedives Over 2% on Demand Outlook

Zinc futures Goes Down by more than 2 % in the domestic market on Tuesday as investors and speculators exited positions in the industrial metal amid Slow physical demand for zinc in the domestic spot market.

Further, a surprise drop in US industrial output in October and a fall in Euro area investor confidence this month signaled concerns over the outlook for the industrial metal as the global economy slows.

Overall output at US mines, factories and utilities fell by 0.2 per cent in October 2015 from the previous month while the gauge measuring Euro area economic sentiment fell to 28.3 in November from 30.1 in October.

At the MCX, Zinc futures for November 2015 contract closed at Rs 101.4 per kg, down by 2.31 per cent after opening at Rs 103.35, against the previous closing price of Rs 103.80. It touched the intra-day low of Rs 101.30.

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