Weak Macro Conditions and Mediocre Fundamentals; Lead Prices Remained Range-Bound [SMM Lead Morning Brief]

SMM, March 6:

Overnight, LME lead opened at $1,960.5/mt. With macro bearish factors continuing to weigh, LME lead fluctuated downward throughout the day, giving back the previous day’s gains and overall remaining in a rangebound pattern. In the latter half of the session, it mostly traded at $1,938–1,948/mt, and finally closed at $1,943.5/mt, down 0.94%.

Overnight, the most-traded SHFE lead 2604 contract opened at 16,775 yuan/mt. After the open, SHFE lead was in the doldrums and gradually moved to around 16,700 yuan/mt. In the latter half of the session, bulls and bears were in a stalemate. SHFE lead finally closed at 16,715 yuan/mt, down 0.62%; its open interest stood at 59,341 lots, down 24 lots from the previous trading day.