Zinc futures fall on lower global trend

Amid weak trend at the London Metal Exchange (LME) on rising inventories, zinc futures prices fell sharply by 1.69 per cent to Rs 104.45 per kg in futures trade today.

Subdued demand in the spot market further fueled the downtrend.

Market analysts said sentiment in metal remained weak after it fell for the ninth session at the LME on speculation that further measures to curb rising asset prices in China may reduce demand

They said record global inventories also kept pressure on the metal futures prices.

At the Multi Commodity Exchange counter, zinc for delivery in February declined by paise Rs 1.80, or 1.69 per cent, to Rs 104.45 per kg, with an open interest of 419 lots.

Likewise, the metal for delivery in January traded lower by Rs 1.70, or 1.62 per cent, to Rs 103.30 per kg, with a business turnover of 2,858 lots.

Meanwhile, zinc for three-month delivery on the LME fell as much as 0.9 per cent to a one-month low of $2,282.25 a tonne.