Spot demand, global cues lift zinc futures by 2.8%

Zinc futures traded higher by 2.8 per cent to Rs 185.35 per kg today as traders enlarged positions following uptick in demand in the spot markets coupled with a firm trend at the London Metal Exchange.
At the Multi Commodity Exchange, zinc for delivery in current month traded higher by Rs 5.05, or 2.80 per cent, to Rs 185.35 per kg, in a business turnover of 1,671 lots.
Likewise, the metal for delivery in January next year edged up by Rs 4.90, or 2.71 per cent, to Rs 185.80 per kg in 44 lots.
Market analysts attributed the rise in zinc futures to a firm trend at spot market on pick up in demand from consuming industries and a firming trend overseas amid signs that production will trail demand.

At the London Metal Exchange, zinc for delivery in three months climbed 2.4 per cent.
Zinc, used to galvanise steel, has climbed 70 per cent this year, as investors price in shrinking global supply after mines shut.