Report Industry Investment Rating - Not provided in the report Core Viewpoints - The stock market is affected by the geopolitical situation in the Middle East. The ongoing war has put increasing inflation pressure on the US and other economies, and the US needs to solve the energy transportation problem urgently. There are several possible outcomes, which may lead to different market trends. Overall, the stock market may continue to fluctuate, but there is still support below after a significant correction due to the stable recovery of the domestic economy, the continuous decline of the risk - free interest rate, and the shift of residents' wealth allocation to the stock market [1][2] - Key factors to watch include geopolitical trends and inflation expectations [3] Summary by Directory 1. Market Review and Outlook - **Stock Market Performance**: Last week, the A - share market continued to adjust, with the Shanghai Composite Index briefly falling below 3800 points on Monday. In terms of sectors, non - ferrous metals, public utilities, and basic chemicals led the gains, while non - banking finance, computer, and agriculture, forestry, and fishery led the losses. In the global market, US stocks declined (Dow Jones down 0.9%, S&P 500 down 2.12%, Nasdaq down 3.23%), European stocks showed mixed performance (UK FTSE 100 up 0.49%, German DAX down 0.35%, French CAC40 up 0.47%), and in the Asia - Pacific market, the Nikkei 225 was flat and the Hang Seng Index was down 1.29% [1][9] - **Oil Price Impact**: The escalation of the Middle East geopolitical conflict pushed up international oil prices, with Brent crude closing at $112.57 per barrel on Friday, the highest closing price since July 2022. This has increased market concerns about energy supply disruptions, inflation rebounds, and potential tightening of Fed policies [1] 2. Strategy Recommendations - **Short - term Strategy**: For intraday trading, refer to the 1 - minute and 5 - minute K - line charts. Set stop - loss and take - profit levels for IF, IH, IC, and IM at 93/70 points, 74/44 points, 205/246 points, and 246/205 points respectively [4] - **Trend Strategy**: Adopt an interval approach. The core operating intervals for IF2604, IH2604, IC2604, and IM2604 are 4369 - 4571 points, 2762 - 2889 points, 7395 - 7973 points, and 7429 - 8006 points respectively [4] - **Cross - variety Strategy**: Adopt a wait - and - see approach [5] 3. Spot Market Review - **Global Index Performance**: Different global stock indices showed mixed performance last week. US indices generally declined, European indices had mixed results, and Asia - Pacific indices also showed different trends [9] - **Domestic Index Performance**: Since 2025, major domestic indices have shown different degrees of increase. Last week, all major domestic indices declined [11] - **Industry Performance**: In the CSI 300 index, sectors such as materials and public utilities had gains, while information and telecommunications sectors had losses. In the CSI 500 index, public utilities and raw materials sectors had gains, while financial real - estate sectors had losses [13] 4. Stock Index Futures Market Review - **Contract Performance**: Last week, the IH futures contract had the largest decline among the main contracts, and the IC contract had the largest amplitude [18] - **Volume and Position**: The trading volume and open interest of stock index futures rebounded [18] - **Basis and Cross - variety Ratio**: The basis of the main stock index futures contracts and the cross - variety ratio showed certain trends [18] 5. Index Valuation Tracking - As of March 20, the P/E (TTM) of the Shanghai Composite Index was 16.61 times, the CSI 300 index was 14.03 times, the SSE 50 index was 11.43 times, the CSI 500 index was 35.36 times, and the CSI 1000 index was 48.11 times [19][21] 6. Market Capital Flow Review - **Financing Balance**: The financing balance of the two markets and the proportion of margin trading balance to the A - share floating market value showed certain trends [21] - **New Fund Share**: The share of newly established equity - biased funds was presented [21] - **Funding Rate and Central Bank Operations**: The funding rate rebounded last week, and the central bank had net injections [22]

Company Analysis - Meituan (3690 HK) reported 4Q25 revenue of RMB 92.1 billion, a year-on-year increase of 4.1%, aligning with Bloomberg consensus expectations. The adjusted net loss was RMB 15.1 billion, at the lower end of the previously warned range of RMB 15.1 billion to RMB 16.1 billion. The core local commerce (CLC) business is believed to have reached a bottom in profitability due to regulatory guidance promoting healthier industry practices and a focus on core competencies among participants [2][6] - The operating loss of Meituan's core local commerce business narrowed by 29% quarter-on-quarter in 4Q25, with expectations for a further 58% reduction to RMB 4.2 billion in 1Q25 [2] - Weichai Power (2338 HK) experienced an unexpected 4% decline in net profit for 2025, totaling RMB 10.9 billion, which is 12% lower than consensus expectations. The 4Q25 net profit fell by 32% year-on-year to RMB 2 billion, primarily due to a 3.9 percentage point drop in gross margin [6][7] - Despite the weak performance, Weichai Power's transition towards electric power business remains positive, with electric-related engine sales expected to increase from 12% in 2024 to 14% in 2025. The target price for Weichai Power has been adjusted to HKD 30.5 and RMB 28.7, reflecting an increase in the EV/EBITDA target multiple to 11 times [6][7] - Binhai Service (3316 HK) reported a 14.1% year-on-year revenue growth to RMB 4.1 billion for the 2025 fiscal year, although this was slightly below consensus expectations. Net profit grew by 12.1% to RMB 880 million, also below expectations. The company has reduced its reliance on the parent company, with an increase in property fee collection rates and average property fees [6][7] - The average property fee rose to RMB 4.2 per square meter per month, with 14 projects completing fee increase contracts in 2025. This performance is attributed to the company's high-end positioning and focus on project concentration [7][8] Industry Overview - The global market has shown a downward trend, with major indices such as the Hang Seng Index falling by 1.89% and the S&P 500 declining by 1.74%. The technology sector, particularly in the US, has faced significant pressure, with the Nasdaq dropping by 2.38% [3][5] - The A-share market also experienced declines, with the Shanghai Composite Index down by 1.09% and the ChiNext Index down by 1.34%. The market is influenced by sectors such as computing, non-bank financials, and telecommunications leading the declines, while coal, oil, and banking sectors showed some resilience [5] - The global bond market remains under pressure, with US Treasury yields rising across the board, reflecting concerns over economic resilience and inflation. The 10-year Treasury yield reached 4.41% [5]

Report Industry Investment Rating - No relevant information provided Core Viewpoints of the Report - The Hong Kong stock market may experience short - term fluctuations due to external disturbances. The Iran conflict may lead to long - term military confrontation, causing energy prices to remain high, deepening concerns about inflation rebound, and forcing the Fed to tighten monetary policy. This may keep the risk - aversion sentiment in the Hong Kong stock market high. However, the long - term allocation value of the Hong Kong stock market is still significant due to the support of southbound funds and the relatively loose interest rate environment [3][8][9] Summary According to Relevant Catalogs 1. Investment Views 1.1 Market Summary - Last week, the Hang Seng Index fluctuated slightly, with a cumulative decline of 0.74% and the technology index falling 2.12%. The market style was cautious. The comprehensive, financial, and energy sectors rose, with increases of less than 2.5%, while most other industries declined, with the raw materials sector dropping 11.26%. Among the secondary industry sectors, electrical equipment rose 8.7%, and most secondary sectors fell, with non - ferrous metals dropping 20.9%. In terms of funds, the share of the Tracker Fund increased by 0.62%, and the shares of the double - short ETFs of the Hang Seng Index and Hang Seng Technology Index increased by 4.22% and decreased by 1.28% respectively. The net inflow of Hong Kong Stock Connect was - HK$6.329 billion, and southbound funds showed a net outflow. Overall, the risk - aversion sentiment in the Hong Kong stock market increased, the risk preference remained low, and the capital side weakened [1][6] 1.2 Market Environment - Last week, the global market sentiment was affected by the Iran conflict. The crude oil price rose 5.2% in a week, showing a continuous upward trend. The prices of major non - ferrous metals continued to fall, with silver dropping 16.6% and gold dropping 11.3%. The global capital market weakened across the board, and the US dollar index fell slightly by 1%. The global market may still be pricing in the expectation of the Fed's monetary policy tightening caused by the rising oil price. The Fed maintained the current interest rate level. The meeting's tone was neutral to hawkish, and the dot - plot showed only one interest rate cut in 2026 - 2027 [2][7] 1.3 Hong Kong Stock Views - The Hong Kong stock market may experience short - term fluctuations due to external disturbances. The Iran conflict may be long - term, causing energy prices to remain high, deepening concerns about inflation rebound. The Fed may tighten monetary policy due to rising energy prices, which may keep the risk - aversion sentiment in the Hong Kong stock market high. Investors may prefer energy and financial sectors, and downstream consumption and technology sectors may further correct, but they will have greater valuation flexibility after sentiment repair points. The capital fundamentals of the Hong Kong stock market are still good, and the long - term allocation value is significant [3][8][9] 2. Market Review 2.1 Stock Index Futures Performance - The table shows the closing prices, weekly price changes, trading volumes, open interests, open interest change rates, basis, and basis changes compared with the previous week of various stock index futures last week, including the Hang Seng Index futures, H - share Index futures, Hang Seng Technology Index futures, and some US index futures [12] 2.2 Market Performance - The table shows the closing prices, weekly price changes, year - to - date price changes, weekly trading volumes, and price - to - earnings ratios of major Hong Kong and US stock indexes last week. Another table shows the closing prices, market values, weekly price changes, monthly price changes, year - to - date price changes, year - to - date price changes relative to the Hang Seng Index, and price - to - earnings ratios of various Hong Kong industry sectors. The third table shows the top five and bottom five sectors in terms of price changes among the Hong Kong WIND secondary sectors. The fourth table shows the information of actively traded Hong Kong ETFs, including closing prices, weekly price changes, year - to - date price changes relative to the Hang Seng Index, returns in the past six months, fund shares, changes in fund shares compared with the previous week, weekly trading volumes, net asset values per share, fund sizes, and changes in net asset values. The fifth table shows the price changes of various US industry sectors, and the sixth table shows the price changes of various US ETFs. The last table shows the performance of major asset classes, including closing prices, weekly price changes, monthly price changes, year - to - date price changes, price changes in the past one month, three months, six months, and one year [14][15][16][24][25][26] 3. Market External Environment Tracking 3.1 Domestic Macroeconomic Data Update - The table shows some major domestic macroeconomic data, including GDP, PMI, industrial added value, investment, consumption, foreign trade, inflation, social financing scale, and real estate - related data [28] 3.2 Central Bank's Latest Movements - The Fed maintained the federal funds rate target range at 3.50% - 3.75%, with a 11 - 1 vote. One member opposed and advocated a 25 - basis - point rate cut. The Fed raised inflation and economic growth expectations, and the dot - plot showed only one interest rate cut in 2026 - 2027 [30] 3.3 Some Important Domestic and International News - The Fed's vice - chair and a governor expressed their views on interest rate cuts. European and some Asian central banks maintained interest rates. China's national statistics showed economic data for January - February, including investment, industrial added value, consumption, and fiscal revenue and expenditure. The decline in China's actual use of foreign capital narrowed, and the housing price decline in 70 cities continued to narrow. The Iran conflict severely impacted global energy supply [33] 3.5 This Week's Focus - The Bank of Japan will release the minutes of its January monetary policy meeting [34]

1. Report Industry Investment Rating No information provided. 2. Core Viewpoints of the Report - In the short term, precious metals are under adjustment pressure due to the high - oil - price tail risk, and the core pricing logic revolves around the evolution of the US - Iran conflict, the release of economic recession panic, and the rhythm of liquidity repair. It is recommended to wait and not blindly bottom - fish before the US stock market stabilizes [3]. - The global economic outlook uncertainty intensifies, and industrial demand expectations decline. Silver, platinum, and palladium are affected by macro - level industrial demand suppression in the short term, with silver having greater retracement pressure due to more concentrated leveraged funds [3]. 3. Summary by Relevant Catalogs 3.1 Macro Influencing Factors - Geopolitical conflicts: The ongoing conflict between the US, Israel, and Iran has increased the security pressure in the Gulf region, threatening the shipping safety of the Strait of Hormuz. It has pushed up international oil price fluctuations, increased the risk of global inflation rebound, and led to a typical cost - push inflation. This has forced central banks to maintain high interest rates, delaying interest rate cuts, weakening economic growth momentum, and increasing recession concerns. Precious metals have short - term support due to hedging demand, but risk assets are under pressure [4]. - Monetary policy environment: During the "Super Central Bank Week", most central banks, except the Reserve Bank of Australia, maintained interest rates unchanged, sending a hawkish signal. The Middle East conflict has pushed up energy prices and inflation risks. Central banks have listed energy supply disruptions as a key risk, raising inflation expectations. The Fed's interest rate cut times have been reduced to 1 this year, and the timing has been postponed to the second half of the year. The European and British central banks are not considering easing for now, and the Bank of Japan maintains a gradual tightening path. Precious metals and risk assets are under pressure [4]. 3.2 ETF Position Tracking - Gold ETF: The holdings of the world's largest gold ETF, SPDR Gold Trust, decreased to 1056.99 tons, with a reduction of 14.57 tons during the week, indicating a decline in investors' physical allocation demand for gold [8]. - Silver ETF: The holdings of the world's largest silver ETF, iShares Silver Trust, decreased to 15248.9 tons, with a reduction of 211.28 tons during the week, showing a decline in investors' physical allocation demand for silver [9]. 3.3 Exchange Inventory - Gold exchange inventory: The report mentions the gold exchange inventory, but no specific data analysis is provided [38]. - Silver exchange inventory: The report mentions the silver exchange inventory, but no specific data analysis is provided [43]. 3.4 Domestic and International Futures - Spot Price Differences The report mentions the domestic and international futures - spot price differences, but no specific data analysis is provided [52]. 3.5 Precious Metal Ratios The report mentions precious metal ratios, but no specific data analysis is provided [60]. 3.6 Gold ETF Volatility Index - The gold ETF volatility index (GVZ) is 35.25, at the 94.8% level of the past - year historical percentile, up from 32.31 last Friday. The Shanghai Gold main - contract at - the - money implied volatility is 37.05%, at the 96.81% level of the past - year historical percentile, up from 25.56 last Friday. The Shanghai Silver main - contract at - the - money implied volatility is 72.12%, at the 84.86% level of the past - year historical percentile, down from 77.56% last Friday [7][65][69][72].

Core Viewpoint - The article discusses the impact of the recent military conflict in the Middle East on the U.S. stock market, highlighting a significant decline in major stock indices and a shift in investor sentiment towards defensive sectors, particularly energy, while technology stocks face increased selling pressure [1][2]. Group 1: Market Trends - As of March 20, U.S. stock indices have experienced four consecutive weeks of decline, the first occurrence since February 2025 [1]. - The technology sector, previously a leader in market gains, has seen a year-to-date decline of 9% among the "seven giants" of technology [1]. - In contrast, the energy sector has thrived, becoming a "safe haven" for investors amid rising geopolitical tensions [1]. Group 2: Investor Sentiment and Risk - The military conflict has negatively affected investor risk appetite, leading to a significant withdrawal of funds from risk assets like U.S. stocks [1]. - The shift in capital flows has resulted in a continuous outflow of funds from the technology sector, particularly affecting high-valuation stocks [2]. Group 3: Inflation and Monetary Policy - The surge in energy prices has raised inflation expectations, constraining the Federal Reserve's policy options [2]. - WTI crude oil prices reached a peak of over $118 per barrel, marking a 47% increase in a month, while Brent crude rose by 48% [2]. - The rising inflation expectations have altered market predictions regarding potential interest rate cuts by the Federal Reserve, with the possibility of delaying or even reversing previous easing plans [3]. Group 4: Corporate Earnings Outlook - Rising energy prices are increasing production costs for companies, particularly in manufacturing, transportation, and retail, thereby compressing profit margins [3]. - Concurrently, inflationary pressures are expected to weaken consumer purchasing power, leading to a decline in demand and negatively impacting corporate revenue growth [3]. Group 5: Sector-Specific Insights - U.S. oil companies, such as Western Oil, ConocoPhillips, Chevron, and ExxonMobil, have seen stock price increases exceeding 30% this year due to the conflict's impact on oil supply [4]. - The ongoing supply constraints, coupled with steady demand, have led to a significant imbalance in the energy market, driving oil prices higher and benefiting U.S. energy companies [5]. Group 6: Broader Financial Concerns - There are concerns regarding the potential spread of a private credit crisis, as investors withdraw from private credit funds due to fears about the impact of artificial intelligence on traditional software sectors [5]. - Major financial institutions have faced significant redemptions from private credit funds, raising concerns about their profitability and the risk of insolvency for smaller financial entities [5].

Group 1 - The Federal Reserve has maintained the federal funds rate at 3.50%—3.75%, amidst rising uncertainties due to the Middle East conflict affecting global oil markets and potentially keeping inflation above the 2% target [1] - Inflation in the U.S. has shown signs of cooling, but recent geopolitical tensions have led to a resurgence in short-term inflation expectations, complicating the economic outlook [1][2] - The market previously anticipated a preventive rate cut by mid-2026, but recent economic data volatility and geopolitical risks have diminished this expectation, shifting focus to the risk of "stagflation" [1][2] Group 2 - The current inflationary pressures are occurring in a different macroeconomic environment compared to 2022, with a notable decline in demand-side overheating, reducing the likelihood of a comprehensive price surge [2] - The nature of the energy shock is evolving from a "temporary disturbance" to a "persistent pressure," which could complicate the Federal Reserve's policy response if inflation rises again [3] - Economic indicators suggest a potential "stagflation" scenario, with inflation rebounding while growth slows, which could limit the Fed's policy options and impact the stock market negatively [3] Group 3 - The impact of the current energy crisis on China is expected to be relatively limited due to its lower reliance on oil and gas in the power structure and its substantial strategic reserves [4] - China's economic resilience and policy capacity are highlighted, with the People's Bank of China indicating a commitment to maintaining a moderately accommodative monetary policy to ensure market stability [5]

Group 1: Federal Reserve Policy Insights - The Federal Reserve's policy determination is expected to strengthen in the short term, potentially exacerbating global liquidity tightening risks[4] - The geopolitical tensions in the Middle East are likely to keep oil prices and the US dollar strong, complicating the Fed's dual mandate of controlling inflation and stabilizing growth[6] - Market expectations for rate cuts have shifted from two anticipated cuts within the year to less than one, with the timing pushed to the fourth quarter[6] Group 2: Economic and Market Implications - The current liquidity environment is under significant pressure, with major asset classes like stocks, bonds, and gold facing adjustment risks[4] - The Fed is likely to maintain a cautious stance in its March meeting, emphasizing uncertainties from the Middle East and inflationary pressures from rising oil prices[6] - Economic forecasts may be revised downwards for growth and upwards for inflation, reflecting heightened vigilance towards short-term risks[6] Group 3: Market Reactions and Asset Allocation - High-valuation sectors, particularly technology, may face valuation compression, while defensive sectors like energy and utilities are expected to attract more capital[7] - Gold, despite short-term pressures from a strong dollar and rising rates, is anticipated to regain appeal as a hedge against geopolitical and inflation risks in the medium to long term[7] - The overall trend suggests that there remains room for rate cuts within the year, with oil price impacts primarily affecting the timing rather than the overall trend[9]

1. Report Industry Investment Rating - Not provided in the given content 2. Core View of the Report - The market's concern about inflation rebound has increased due to the impact of the Middle - East conflict on oil prices, and the US dollar index has strengthened continuously. The probability that the Fed will keep the interest rate unchanged in this week's meeting is as high as 99.2%, and the expectation of interest rate cuts this year has been significantly revised down, further consolidating the strong position of the US dollar, which has put pressure on base metals. On the 17th, there was a large - scale inventory delivery overseas, and the LME inventory returned to over 110,000 tons. The LME zinc price dropped by more than 1 percentage point, dragging down the Shanghai zinc price. The main contract closed at 23,700 yuan/ton, down 315 yuan, a decline of 1.31%. The average price of SMM Zn50 domestic TC this week remained flat at 1,550 yuan/metal ton. Although the offers of imported ore increased, affected by overseas supply disruptions, the imported zinc concentrate index continued to decline to $11.25/ton. With the resumption of work in smelters and the increase in natural days, the refined zinc output in March will increase month - on - month. The SMM zinc ingot inventory continued to accumulate on Monday, increasing by 0.7 tons to 275,800 tons compared with last Friday. As the price dropped, downstream buyers increased their spot purchases at low prices. The Shanghai market offered a discount of 80 yuan/ton to the 04 contract, the Tianjin market offered a premium of 10 yuan/ton to the Shanghai market, and the Guangdong market offered a discount of 95 yuan/ton to the 05 contract. The social inventory may decline slightly this week, but the inflection point of inventory decline has not been confirmed. In the short term, the zinc price is expected to maintain a weak and volatile trend [7] 3. Summary by Directory 3.1 Market Review - **Futures Market Quotes**: For the Shanghai zinc futures contracts, the 2604 contract opened at 23,930 yuan/ton, closed at 23,700 yuan/ton, with a high of 24,025 yuan/ton, a low of 23,695 yuan/ton, a decline of 315 yuan, a decline rate of 1.31%, and the position volume was 73,741 with a change of 67,561. The 2605 contract opened at 24,030 yuan/ton, closed at 23,730 yuan/ton, with a high of 24,060 yuan/ton, a low of 23,720 yuan/ton, a decline of 300 yuan, a decline rate of 1.25%, and the position volume was 80,471 with a change of 3,154. The 2606 contract opened at 24,055 yuan/ton, closed at 23,785 yuan/ton, with a high of 24,100 yuan/ton, a low of 23,775 yuan/ton, a decline of 295 yuan, a decline rate of 1.23%, and the position volume was 27,745 with a change of - 45,777 [7] - **Market Influencing Factors**: Affected by the Middle - East conflict and the Fed's interest rate policy, the US dollar strengthened, and base metals were under pressure. Overseas inventory delivery led to a decline in the LME zinc price, which in turn affected the Shanghai zinc price. The domestic refined zinc output is expected to increase in March, and the inventory has accumulated. The downstream has increased spot purchases at low prices, and the short - term zinc price is expected to be weak and volatile [7] 3.2 Industry News - **0 Zinc Transaction Prices**: On March 17, 2026, the mainstream transaction prices of 0 zinc were concentrated between 23,805 - 23,945 yuan/ton, and the mainstream transaction prices of Shuangyan brand were between 23,915 - 24,055 yuan/ton. The 1 zinc was mainly traded between 23,735 - 23,875 yuan/ton. In the morning, the market offered a premium of 20 yuan/ton to the SMM average price [8] - **Regional Market Quotes**: In the Ningbo market, the mainstream brand 0 zinc was traded at around 23,815 - 23,935 yuan/ton, with a discount of - 85 yuan/ton to the 2604 contract and a premium of 30 yuan/ton to the Shanghai spot. In the Tianjin market, the 0 zinc ingot was mainly traded between 23,760 - 23,970 yuan/ton, and the Zijin brand was traded between 23,830 - 24,000 yuan/ton. The 1 zinc ingot was traded around 23,740 - 23,910 yuan/ton. In the Guangdong market, the 0 zinc was mainly traded between 23,800 - 23,980 yuan/ton, with a discount of 95 - 75 yuan/ton to the 2605 contract and a premium of 40 yuan/ton to the Shanghai spot [8] 3.3 Data Overview - **Data Charts**: The report includes charts such as the price trends of zinc in two markets, SHFE monthly spreads, SMM seven - region weekly zinc ingot inventory, and LME zinc inventory, with data sources from Wind, SMM, and the research and development department of Jianxin Futures [10][11]

Report Information - Report Title: Zinc Futures Daily Report [1] - Date: March 17, 2026 [2] - Researcher: Zhang Ping, Peng Jinglin, Yu Feifei [3][4] Report Industry Investment Rating - Not provided Core Viewpoint - Affected by the Middle East conflict pushing up oil prices, market concerns about inflation rebound have increased. Coupled with geopolitical risk - aversion demand, the US dollar index has strengthened continuously. The probability that the Fed will keep interest rates unchanged in this week's meeting is as high as 99.2%, and the expectation of interest - rate cuts this year has been significantly revised down, further consolidating the strong position of the US dollar. Base metals have all declined under pressure. The zinc price is expected to remain volatile and weak in the short term [7]. Summary by Directory 1. Market Review - **Futures Market Quotes**: For different contracts of Shanghai zinc futures, the 2603 contract opened at 24,140 yuan/ton, closed at 24,230 yuan/ton, with a decline of 95 yuan and a decline rate of 0.39%, and the position decreased by 85; the 2604 contract opened at 24,245 yuan/ton, closed at 24,300 yuan/ton, with a decline of 120 yuan and a decline rate of 0.49%, and the position decreased by 1,494; the 2605 contract opened at 24,230 yuan/ton, closed at 24,340 yuan/ton, with a decline of 130 yuan and a decline rate of 0.53%, and the position increased by 623 [7]. - **Market Situation**: The main contract of Shanghai zinc fell below the 24,000 - yuan mark, closing at 23,905 yuan/ton, a decline of 315 yuan or 1.30%. On the 16th, LME inventory decreased by 400 tons to 90,800 tons, 0 - 3C was 42.63, and the Shanghai - London ratio dropped to 7.27. The average domestic TC price of SMM Zn50 this week remained flat at 1,550 yuan/metal ton. Although the offers of imported ore increased, due to overseas supply disruptions, the imported zinc concentrate index continued to decline to 11.25 US dollars/ton. With the resumption of refineries and the increase in natural days, the refined zinc output in March will increase month - on - month. On Monday, the SMM zinc ingot inventory continued to accumulate, increasing by 0.7 tons to 27.58 tons compared with last Friday. As the price dropped, downstream buyers increased their spot purchases at low prices. The social inventory may decline slightly this week, but the inflection point of inventory decline has not been confirmed [7]. 2. Industry News - **0 Zinc Transactions on March 16, 2026**: The mainstream transaction price of 0 zinc was concentrated between 23,755 - 24,040 yuan/ton, and there was no transaction for Shuangyan. The mainstream transaction price of 1 zinc was between 23,685 - 23,970 yuan/ton. In the morning, the market offered a premium of 20 yuan/ton to the SMM average price and no offer to the futures price [8]. - **Ningbo Market**: The mainstream price of 0 zinc was around 23,775 - 24,030 yuan/ton. Regular brands in Ningbo offered a discount of 90 yuan/ton to the 2604 contract and a premium of 20 yuan/ton to the Shanghai spot price. The mainstream in Ningbo was to quote against the 2604 contract [8]. - **Tianjin Market**: The mainstream transaction price of 0 zinc ingots was between 23,760 - 24,080 yuan/ton, and Zijin was traded between 23,800 - 24,090 yuan/ton. The 1 zinc ingots were traded around 23,720 - 24,010 yuan/ton. Zijin offered a discount of 30 - 40 yuan/ton to the 2604 contract, and Huxin was quoted at 24,600 yuan/ton [8]. - **Guangdong Market**: The mainstream transaction price of 0 zinc was between 23,775 - 24,060 yuan/ton. Mainstream brands offered a discount of 80 yuan/ton to the 2604 contract and a premium of 30 yuan/ton to the Shanghai spot price. The price difference between Shanghai and Guangdong narrowed. At first, holders offered a discount of 70 - 60 yuan/ton for brands such as Qilin and Lanxin [8]. 3. Data Overview - **Graphs**: The report includes graphs such as the price trends of zinc in two markets, SHFE month - to - month spreads, SMM's weekly inventory of zinc ingots in seven regions, and LME zinc inventory [10][12]

Market Performance - The Hang Seng Index (HSI) fell by 1.13% last week, while the Tech Index decreased by 0.62%[1] - The energy sector rose by 3.25% due to an increase in international oil prices, while the financial sector dropped by 4.36%[1] - The electrical equipment sector saw a significant increase of 15.1%, and the coal industry rose by 8.3%[1] Capital Flows - The net inflow of funds through the Hong Kong Stock Connect reached HKD 52.44 billion last week, indicating a notable recovery in mainland capital[1] - The number of units in the Tracker Fund of Hong Kong decreased by 4.87%, while the short ETFs for the Hang Seng Index and Hang Seng Tech Index increased by 8.42% and 2.87%, respectively[1] External Influences - Global markets were impacted by the situation in Iran, with oil prices rising over 10% during the week[2] - Concerns about inflation are expected to deepen due to the potential for prolonged military conflict affecting shipping safety in the Strait of Hormuz[3] Economic Data - Domestic financial data showed that new RMB loans increased by CNY 5.61 trillion in the first two months of the year, with social financing scale growing by CNY 9.6 trillion, up by CNY 316.2 billion year-on-year[7] - The M2 money supply grew by 9% year-on-year, while the stock of social financing increased by 8.2%[7]