New Delhi, (Economy India): Zinc futures witnessed a positive trading session on Monday, with prices rising 0.48% as stronger demand in the spot market encouraged traders to increase their buying positions. The gains reflect improved market sentiment in the base metals segment amid expectations of steady industrial demand.
According to market data, zinc contracts for August delivery on the Multi Commodity Exchange (MCX) climbed Rs 1.80, or 0.48%, to Rs 379.25 per kilogram. The contract recorded a business turnover of 557 lots, indicating active participation from commodity traders.
Market experts attributed the rise primarily to higher spot demand, which often influences futures prices. As demand from industries such as construction, infrastructure, automobile manufacturing, and steel galvanization remains stable, traders are increasingly optimistic about zinc’s near-term outlook.
Zinc is a key industrial metal used mainly for galvanizing steel to protect it from corrosion. It is also widely used in the production of batteries, electrical equipment, die-casting, and various engineering applications. Because of its broad industrial usage, zinc prices are closely linked to manufacturing activity and economic growth.
Analysts believe that commodity traders will continue to monitor domestic demand, global metal prices, inventory levels, and economic developments in major consuming countries. Any significant changes in these factors could influence the direction of zinc prices in the coming trading sessions.
While Monday’s gains were modest, the upward movement signals renewed buying interest in the futures market. Investors are expected to remain cautious but optimistic as they assess global supply conditions and demand trends before taking fresh positions.
Overall, the rise in zinc futures highlights improving confidence among market participants, supported by healthy spot demand and positive expectations for industrial metal consumption.
(Economy India)
