Taking up the SPP for 150,000 CBH shares at 10cents may be a smart move as Zinc and Lead move higher. Anyone who sells down CBH now would have to be a fool.
Lead August 03,06:22 Bid/Ask 0.8596 - 0.8642 Change +0.0245 +2.93% Low/High 0.8351 - 0.8669
LME zinc MZN3=LX was last at $1,775 after peaking at $1,790 earlier, while Shanghai zinc SZNc3 touched its 7 percent upside limit, of 15,400 yuan, before cutting gains to 15,015 yuan at the close. Analysts say signs that demand for the galvanised steelingredient is turning up are aiding gains. "There is evidence to suggest that there could be a sharp snap-back in zinc demand in China in the second half of 2009, following a period of destocking of galvanised steel in the first half," Macquarie said in a note. Major refined zinc producers have said their order books have improved, including Teck Resources (TCKb.TO: Quote), which announced on Thursday that it will resume full production.
CBH Price at posting:
11.5¢ Sentiment: Buy Disclosure: Held