SMM, September 30:
The SHFE lead 2611 contract opened at 16,245 yuan/mt during the day. Today was the last trading day before the National Day holiday, and futures continued to consolidate on a weak note, moving downwards after a higher opening during the day and consolidating on a weak note near the close, ultimately closing at 16,180 yuan/mt, down 95 yuan/mt or 0.58% from the previous trading day's closing price, with a small bearish candlestick on the daily chart. Total trading volume was 50,475 lots, and open interest stood at 63,801 lots. The spot market remained sluggish, as downstream lead-acid battery enterprises had largely completed their pre-holiday stockpiling, with procurement mainly driven by rigid demand. Suppliers quoted prices in line with market conditions, and market trading was thin with strong wait-and-see sentiment. After the National Day holiday, SHFE lead is expected to consolidate on a subdued note at the open, with the direction depending on LME lead performance during the holiday and the pace of downstream procurement as enterprises resume operations after the holiday. Caution is warranted regarding wild swings in LME lead during the long holiday and the risk of a gap at the open after the holiday.
Data source statement: All data other than public information are processed by SMM based on public information, market communication, and SMM's internal database models, and are for reference only and do not constitute decision-making advice.
