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Zinc down on overseas trend, sluggish spot demand

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Press Trust of India New Delhi

Zinc prices fell by Rs 0.60, or 0.68 per cent, to Rs 88.20 per kg today in futures trade after the metal tumbled in global market on euro zone debt woes.

Subdued domestic demand also put pressure on the metal prices in futures market here.

At the Multi Commodity Exchange, zinc for July contract drifted by Rs 0.60, or 0.68 per cent, to Rs 88.20 per kg with an open interest of 114 lots.

The metal for delivery in current-month, May contract also fell Rs 0.25, or 0.29 per cent, to Rs 86.30 per kg with an open interest of 7,700 lots.
    
Market analysts said weakness in entire base metals pack overseas on concerns that the global economic recovery will wane and demand may fall on lingering euro debt problems.
    
Meanwhile, at Shanghai, the metal plunged 265 yuan or 1.69 per cent, at 15,435 yuan per tonne, while at the London Metal Exchange, it fell $39, or 2.01 per cent, at $1,900per tonne.
   
The metal prices have fallen nearly 7 per cent in global market since Monday.

 

 

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First Published: May 19 2010 | 2:58 PM IST

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