SHANGHAI, Jun 29 (SMM) – LME lead opened at $2,097/mt on Wednesday. During the Asian trading session, LME lead traded basically fluctuated between $2,080-2,095/mt. After entering the European session, the US dollar rose strongly, thus non-ferrous metals generally fell under pressure. LME lead fell to $2,068/mt, and finally closed at $2,078/mt, a decrease of 0.91%.
The most-traded SHFE 2308 lead contract opened at 15,470 yuan/mt overnight, and moved between 15,460-15,480 yuan/mt before closing at 15,460 yuan/mt, down 0.03%. Open interest rose 481 lots to 108,000 lots.
The central banks in the US, Europe and the UK all sent hawkish signals. The profits of industrial enterprises above designated size in China fell by 12.6% year-on-year in May, and the decline has narrowed for three consecutive months.
In terms of fundamentals, the SHFE/LME lead price ratio has recently expanded, thus the export window for lead ingots has been closed. Rising SHFE lead warrants will weigh on lead prices. Battery scrap costs remain high. Lead consumption is poor.
