According to SMM survey, social lead ingot inventory across five major regions in China totalled 82,100 mt as of September 22, down 2,200 mt from September 15 and 3,000 mt from September 18.
The production of primary lead smelters increased last week. Downstream manufacturers were restocking for the holidays when lead prices fell last week. Lead ingot exports were the key driver of the drop in social lead ingot inventories last week. The export window for lead ingots reopened.
After the delivery, lead ingots began to be moved to the warehouses for export, which expanded the inventory drop. The SHFE/LME lead price ratio rose in anticipation of pre-holiday stockpiling this week, closing the export window. The decline in lead ingot stockpiles may slow down.
