SMM Morning Review - 2010/5/28 Lead Market

SHANGHAI, May 28 (SMM) -- China denied on Thursday a media report saying that it was reviewing its holdings of euro zone debt. On the same day, the US's economic data was weaker than expected, weighing down strong gains of the US dollar, and with the US dollar index ending at 86.265. A strong euro helped support base metals market, and LME lead prices finished higher with other base metals, rising above USD 1,800/mt. Positions were up more than 1,200 lots. At present, LME lead prices are expected to rebound on technical. However, negative news continues to dominate market sentiment, with price fluctuations expected. 

In neighboring markets, gold futures for August delivery closed at USD 1,214.4 per ounce, down USD 0.90. Silver futures for July delivery finished 16.20 cents higher at USD 18.468 per ounce. 

Domestic lead market is expected to deal between RMB 14,600-14,670/mt on Friday.

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

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