SMM Shanghai and Other 1# Lead Markets: SHFE Lead Rebounded After Testing Lows, Spot Market Discounts Expanded and Narrowed Coexist [SMM Midday Review]

        SMM, February 20: In the Shanghai market, Honglu lead was quoted at 17,035-17,050 yuan/mt, on par with the SHFE 2503 contract; in Jiangsu and Zhejiang regions, JCC and Jijin lead were quoted at 17,015-17,050 yuan/mt, at discounts of 20-0 yuan/mt against the SHFE 2503 contract. SHFE lead showed a trend of opening low and moving higher, with suppliers generally offering at discounts. Cargoes near parity were difficult to sell. Additionally, ex-factory cargoes of primary lead from smelters were mostly quoted at discounts of 50 yuan/mt to premiums of 100 yuan/mt against the SMM 1# lead average price. Secondary refined lead was quoted at discounts of 50-0 yuan/mt against the SMM 1# lead average price, ex-factory. Some suppliers were reluctant to sell at low prices, and their enthusiasm for shipments decreased compared to yesterday. Meanwhile, downstream enterprises maintained a strong wait-and-see sentiment, with some purchasing only on a need basis.

        In other markets: The SMM 1# lead price remained unchanged from the previous trading day. In Henan, smelters quoted discounts of 50-0 yuan/mt against the SMM 1# lead average price, while some suppliers quoted discounts of 200 yuan/mt against the SHFE 2503 contract, though transactions were scarce. In Hunan, smelters mainly shipped under long-term contracts, and suppliers narrowed their discounts to near parity, with some transactions recorded. In Yunnan, discounts slightly narrowed to 250-300 yuan/mt. Lead prices fluctuated downward, with increased downstream caution and reduced purchases, leading to muted spot market transactions.