Zinc futures slip 0.22% on profit-booking

Zinc prices weakened by 0.22 per cent to Rs 180.65 per kg in futures trade today as speculators booked profits amid easing demand in the spot market.

However, a firm trend in the metal in Asian trade, where it climbed to a one-week high, capped the losses in futures trade here.

At the Multi Commodity Exchange, zinc for delivery in August declined by 40 paise, or 0.22 per cent, to Rs 180.65 per kg in a business turnover of 59 lots.

Similarly, the metal for delivery in July contract was trading lower by 35 paise, or 0.19 per cent, to Rs 180.80 per kg in 997 lots.

Analysts said besides profit-booking by participants, fall in demand from consuming industries in the physical market weighed on zinc prices in futures trade.

Globally, Shanghai zinc soared 6 per cent to a one-week high of 21,405 yuan (USD 3,183.33) per tonne today after data showed a year-on-year drop in Chinese production and the London Metal Exchange (LME) zinc price posted its biggest daily jump in almost a year.

At the London Metal Exchange (LME), three-month zinc rose 2.1 per cent to USD 2,655 a tonne.