SMM Daily Review - 2011/9/2 Lead Market

SHAGNHAI, Sept. 5 (SMM) -- Last Friday, SHFE 1110 lead contract prices opened lower at RMB 16,785/mt dragged down by LME lead prices overnight, and then inched down to RMB 16,560/mt. In the afternoon, SHFE lead prices moved steadily between RMB 16,610-16,650/mt, finding support at the 20-day moving average, with prices closing at RMB 16,635/mt, down RMB 150/mt. Trading volumes decreased by 378 lots to 772 lots, and total positions decreased by 62 lots to 3,900 lots.

In domestic spot markets, well-known brands such as Nanfang, Chihong Zn & Ge and Chengyuan were quoted between RMB 16,300-16,350/mt, with discounts of negative RMB 380-400/mt against SHFE 1110 lead contract prices. Other brands such as Shuangyan were quoted around RMB 16,280/mt. In the afternoon, well-known brands were generally traded around RMB 16,300/mt, with the wait-and-see sentiment prevailing in the market.