SMM Shanghai and Other 1# Lead Markets: SHFE Lead Fluctuates Upward, Spot Cargoes Generally Traded at Large Discounts [SMM Midday Review]

        SMM, February 21: In the Shanghai market, Honglu lead was quoted at 17,105-17,130 yuan/mt, on par with the SHFE lead 2503 contract. In Jiangsu and Zhejiang regions, JCC and Jijin lead were quoted at 17,085-17,130 yuan/mt, with a discount of 20-0 yuan/mt against the SHFE lead 2503 contract. SHFE lead fluctuated upward, and suppliers showed relatively small differences in premiums and discounts. Meanwhile, smelters maintained ex-factory quotes at a discount of 50 yuan/mt to a premium of 100 yuan/mt against the SMM 1# lead average price. The spread between futures and spot prices remained large, prompting some suppliers to increase their willingness to transfer to delivery warehouses. The discount for secondary refined lead widened, with ex-factory quotes at a discount of 100-0 yuan/mt against the SMM 1# lead average price. Additionally, downstream enterprises mainly purchased as needed, and due to price spread factors, some just-in-time procurement leaned towards low-priced primary lead.

        Other markets: Today, the SMM 1# lead price rose by 50 yuan/mt compared to the previous trading day. In Henan, smelters quoted discounts of 50-0 yuan/mt against the SMM 1# lead average price, while some suppliers expanded their discounts to 240 yuan/mt against the SHFE lead 2503 contract. Spot transactions were sluggish. In Hunan, smelters mainly shipped under long-term contracts, while spot orders were quoted near parity with the SMM 1# lead average price. Some suppliers offered small discounts for transactions. In Yunnan, discounts remained at 250-300 yuan/mt. Lead prices stabilized after fluctuations, with downstream just-in-time procurement dominating. The spot market transactions remained sluggish.