Lead Spot Market Trading Was Sluggish, Social Inventory Decreased First and Then Increased [SMM Survey]

According to SMM survey, as of October 24, SMM lead ingot social inventory in five regions was 72,300 mt, a decrease of 3,600 mt compared to October 17, and an increase of 4,800 mt compared to October 21.

According to the survey, lead prices fluctuated rangebound this week, and spot market transactions were also relatively mediocre. Supply side, primary lead smelters resumed production after maintenance, while secondary lead faced environmental protection inspections, with a few companies reducing lead ingot shipments, leading to limited spot market circulation. Consumption side, the lead-acid battery market saw limited improvement, and downstream companies maintained restocking as needed, resulting in social inventory of lead ingots decreasing first and then increasing. Next week, the new long-term contracts for November will begin to be delivered, and downstream companies may reduce spot order purchases, posing a risk of inventory buildup in the social inventory of lead ingots.