Zinc settled 0.9% up at 100.5 following the release of significantly better-than-expected U.S. housing data. Traders were looking ahead to Chinese third quarter growth figures due out, to gauge whether the world second largest economy is heading towards a hard or a soft landing. LME zinc prices overnight opened at $1,909/mt, rising in the morning trading and then fell. In the afternoon, LME zinc prices fell further due to strong short momentum, and once dipped to $1,892/mt. US September housing starts raised by 15%, to 872,000 units, a record high since July 2008, and much higher than the forecast of 2.7% and 770,000 units. September building permits also increased to 894, 000 units, the highest since July 2008. As a result, the US dollar index fell to 79, and LME zinc prices rallied and finally closed at $1,924.5/mt, up $18/mt. China's economy likely slowed for a seventh straight quarter in July-September, missing the government's target for the first time since the depths of the global financial crisis, and data on Thursday could signal still worse to come. The International Monetary Fund called on the eve of a EU summit for both Spain and Italy to seek euro zone assistance to draw a line under the bloc's debt crisis, but Rome has rebuffed the idea and Madrid seems likely to apply alone. For today's session market is looking to take support at 99.3, a break below could see a test of 98.1 and whereas resistance is now likely to be seen at 101.3, a move above could see prices testing 102

ZINC

Zinc trading range for the day is 98.13-102.03.

Zinc gained above 100 again on significantly better-than-expected US housing data.

China’s will announce retail sales and GDP, if the data improves, base metal prices will be supported.

Zinc daily stocks at Shanghai exchange came down by 63 tonnes

Warehouse stock for Zinc at LME was at 1059650mt that is down by  -1525mt.

BUY ZINC OCT @ 99.50 SL 98.50 TGT 100.20-101.00-101.80.MCX