SHFE Lead Closed Slightly Higher Intraday, Weak Consumption Constraining Upside Room [Lead Futures Brief]

SMM, May 21:

The most-traded SHFE lead 2607 contract opened at 16,635 yuan/mt during the session. It edged up briefly at the start before pulling back momentarily, then fluctuated upward again to touch a high of 16,740 yuan/mt. Later in the session, lead prices came under pressure, ultimately closing at 16,645 yuan/mt, recording a second consecutive positive session with a gain of 105 yuan/mt, up 0.63%. This week, secondary lead enterprise production and finished product inventories rose WoW, weighing on lead prices. However, imported lead supplies decreased somewhat, and social lead ingot inventory continued to pull back, providing support for prices. Currently, the supply side presents mixed signals, while downstream consumption remains weak. In the short term, lead prices are expected to maintain a fluctuating trend.

The SHFE lead 2606 contract recorded a trading volume of 54,093 lots with open interest of 25,155 lots; the SHFE lead 2607 contract recorded a trading volume of 90,303 lots with open interest of 70,821 lots. The most-traded SHFE lead contract officially completed its contract rollover to the 2607 contract.

Data source disclaimer: Data other than public information is derived from public information, market communication, and SMM's internal database models, processed by SMM for reference only and does not constitute decision-making advice.