MARKET TALK: China Zinc De-Stocking Seen Easing Over 2Q

Destocking of zinc by China should dry up in over the next couple of months, says analyst Will Adams of Basemetals.com. "In turn with a number of shorts thought to be embedded in the market, there is a danger of a short-covering rally," he warns, noting that any tightening up in the cash to 3-month spread should indicate the start of this. LME zinc traded last +1.3% on the day at $3,310/ton.