Zinc prices are demonstrating resilience as of February 24, 2026, with the Multi Commodity Exchange (MCX) witnessing a 2% climb to **Rs 332** per kilogram. This upward movement is mirrored on the London Metal Exchange (LME), where futures are trading near a three-year high of **$3,403** per tonne. The rally is fundamentally driven by a tightening supply chain. Global exchange inventories have seen significant depletion, with LME stocks currently hovering around **103,500 tonnes**, down from over **230,000 tonnes** at the start of last year. This low-stock environment is compounded by persistent mine disruptions and smelter output curbs in key regions such as Japan and Kazakhstan. In the domestic market, the tone remains positive as zinc outperforms other base metals like copper. Technical indicators suggest that the current momentum is sustainable as long as prices remain above the critical support level of **Rs 322**. Analysts anticipate a fresh surge in trading volume and price action as Chinese markets fully resume operations following recent holiday closures. Demand remains anchored by the global push for electrification and substantial investments in data center infrastructure. These sectors are offsetting broader macroeconomic headwinds, maintaining steady consumption for galvanizing processes. While mine output is projected to grow by **2.4%** later this year, the immediate market remains characterized by a supply deficit and low treatment charges. Market participants are currently focused on the upcoming "Two Sessions" meeting in China for cues on further economic stimulus. Any policy shifts regarding infrastructure or the property sector are expected to provide additional tailwinds for the metal. For now, the prevailing strategy among traders continues to favor "buy-on-dips," supported by the metal's strong position above major moving averages.