MCX Base Metal Tips: Zinc futures tanked more than 1.2 per cent in the domestic market on Wednesday as investors and speculators exited positions in the industrial metal amid weak physical demand for Zinc in the domestic spot market. Investors cast aside robust Chinese data which signaled a turnaround in the economy of the world’s biggest metals consumer as a services gauge accelerated in October, and signs of a pickup in the 19-member Euro area economy, boding well for Zinc’s demand outlook. The Caixin China services PMI rose to 52 last month from a 14-month low of 50.5 in September, while a Euro area private sector index climbed to 53.9 in October from 53.6 in September. Meanwhile, China’s President Xi Jinping stressed that the country must achieve an yearly growth rate of at least 6.5 per cent over the next five years as it aims to double the 2010 GDP and per capita income by 2020. At the MCX, Zinc futures for November 2015 contract closed at Rs 109.2 per 1 kg, down by 1.22 per cent after opening at Rs 111, against the previous closing price of Rs 110.55. It touched the intra-day low of Rs 109.05.
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