Zinc Hovers Near 4-Year High

Zinc futures hovered near $3,600 per tonne, close to a four-year high, as market sentiment improved following progress in US–Iran talks. The first round of talks in Switzerland concluded with both sides agreeing on a roadmap toward a final deal, easing concerns over further disruptions to global economic activity and improving expectations for industrial demand. Additional support came from tightening near-term supply conditions after production setbacks at key facilities. Glencore’s Kazzinc facility in Kazakhstan is operating at reduced capacity after an explosion, while Nexa’s Cajamarquilla smelter in Peru was temporarily suspended due to fire damage, though production is gradually resuming. In addition, a seismic event at Boliden’s Garpenberg mine earlier this year has raised concerns about the possibility of prolonged lower output. However, a strong US dollar is weighing on zinc prices, as it makes dollar-priced commodities less attractive for buyers using other currencies.