Zinc Prices Rise as Global Economic Concerns Ease

Zinc futures rose by 0.57% to ₹386 on August 4, supported by easing concerns over global economic growth due to lower crude oil prices reducing inflationary pressure.

The reduction in inflationary pressure and geopolitical uncertainty following U.S. President Donald Trump's suspension of a planned military strike on Iran improved market sentiment.

Supply-side risks in China also provided additional support, as heavy rainfall and flooding across parts of the country raised concerns about potential disruptions to mining, smelting operations, and transportation.

According to data from the Shanghai Futures Exchange, China's refined zinc production continued to expand, with May output rising 10% year-on-year to 641,000 tonnes.