2nd part of the puzzle - zinc outlook

Updated: May 20, 2012

Summary: Downgraded zinc outlook to stuck in neutral. Although Shanghai looks positive, the rise in short positions offsets the positive note.

Copper: (outlook - slightly positive)

LME Gross - 217,450 (down from 262,700)
LME Backorder - 37,700 (down from 57,325)
LME Net available - 179,750 (down from 205,375)



Zinc: (outlook - neutral)

LME Gross - 940,250 (up from 911,825)
LME On back-order - 30975 (up from 16,350)
LME Net available - 909,275 (up from 895,475)

Current Open Calls/Puts:

Metal	Copper	Zinc
Call options	105976	47857
Put options	140286	30402
Prior	(up/down to current data)
+3.60%	102284	42147	+13.54%
-1.63%	138024	25030	+21.46%

----focus on Shangai----

Shanghai Net available - 226,319

Headline stocks down about 72,000t to 351,661, which almost matches the zinc build on the LME.