There’s a new supply crisis brewing on the London Metal Exchange, as plunging stockpiles of zinc leave buyers facing a huge premium to obtain spot metal. The premium for spot zinc over futures spiked on Thursday to the widest since 1997, in a condition known as backwardation that is a hallmark feature of a supply squeeze. The sharp surge comes after inventories slumped this week to the lowest level in at least 25 years. The LME said it’s monitoring the situation closely. The turmoil in zinc comes three months after an unprecedented short squeeze in the nickel market, which sparked a 250% rally in prices and led the ... (full story)