Zinc Down as the Dollar Turned up for the First Time This Week

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Zinc yesterday settled down by -0.47% at 232.45 as the dollar turned up for the first time this week as U.S. yields held steady. However, the downside seen limited as zinc treatment charges (TCs) in China jumped to their highest level in more than five months as power shortages in the Yunnan province left smelters facing production cuts, weakening demand for raw material zinc concentrate. Spot TCs, paid by miners to smelters to process imported concentrate into refined zinc in top consumer China, were last assessed at $95 a tonne, up 35.7% from the previous day and the highest since Dec. 4. Charges have previously been languishing a $70 a tonne, the lowest since September 2018 amid tight supply; the 2021 TC benchmark, used in long-term concentrate deals, was agreed at $159 a tonne.
 
The global zinc market surplus narrowed in March to 2,100 tonnes from a revised surplus of 56,900 tonnes the previous month, data from the International Lead and Zinc…

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