Stronger fundamentals in the second half to support prices: Zinc...

Stronger fundamentals in the second half to support prices:

Zinc failed to trade in closing open outcry activity and was bid down 1.7 percent at $1,870 a tonne after earlier touching the highest levels in more than three weeks at $1,934.50.
Zinc had got support after data showed inventories in warehouses registered with the LME MZNSTX-TOTAL continued to erode on Thursday, falling to 391,500 tonnes.
The figure is the lowest since July 2009, about two-thirds below the record peak in 2013, although some stock is thought to have been shifted to cheaper storage outside LME warehouses.
"The demand picture is looking fairly healthy and then we've got the ongoing supply tightening," said Caroline Bain, senior commodities economist at Capital Economics in London.
Zinc's recovery from lows in January, however, probably was overdone and there will be stronger fundamentals in the second half to support prices, she added.

http://af.reuters.com/article/metalsNews/idAFL3N1893C1?pageNumber=2&virtualBrandChannel=0