SMM Morning Review - 2010/5/24 Lead Market

SHANGHAI, May 24 (SMM) -- On Friday, the US dollar index experienced downward corrections, and base metals market closed high across the board as a result. LME lead prices set a session high of USD 1,811/mt, and closed at USD 1,795/mt, standing above the 5-day moving average. However, LME lead prices failed to break through USD 1,800/mt for three consecutive trading days, a sigh of intense struggles between short and long positions at USD 1,800/mt. 

In neighboring markets, short covering following market expectations of support on the euro from European central bank's intervention helped the euro gain against the US dollar for a third trading day. The US dollar index finished at 85.421. Gold futures for June delivery ended at USD 1,176.10 per ounce, down USD 12.5. Silver futures for July delivery finished 6.40 cents lower to USD 17.651 per ounce.

Domestic spot lead market is expected to trade between RMB 14,600-14,700/mt on Monday.

To contact the writer on this report: Sherryshi@smm.cn

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