Zinc futures drop 0.45% on weak global cues

NEW DELHI: Zinc prices fell by 0.45 per cent to Rs 133.35 per kg in futures trade today amidst offloading of positions by speculators on weak cues from overseas markets.

Besides, subdued spot demand weighed on the prices. At the Multi Commodity Exchange, zinc for delivery in April traded lower by 60 paise, or 0.45 per cent, at Rs 133.35 per kg in a business turnover of 171 lots.

The metal for delivery in May also fell by a similar margin to trade at Rs 134.10 per kg in five lots.

Analysts said besides subdued demand at domestic spot markets, a weak trend at the London Metal Exchange (LME), where metal fell from a two-month high before minutes of the Federal Reserve's March meeting and as the International Monetary Fund forecast sustained weakness in global economic growth, put pressure on zinc prices at futures trade.

Globally, zinc for delivery in three months at the LME dropped 0.8 per cent to $ 2,138 a metric tonne.