SHAGNHAI, Sept. 15 (SMM) -- On Wednesday, SHFE 1110 lead contract prices opened higher at RMB 16,425/mt, and touched RMB 16,565/mt but met resistance at the 5-day moving average later the day. Dragged down by stocks markets, SHFE 1110 lead contract prices plunged to RMB 16,280/mt, a record low since August 10, and rallied to close at RMB 16,350/mt, down RMB 70/mt. Trading volumes only increased by 140 lots to 536 lots, while total positions decreased by 224 lots to 3,126 lots. Trading volumes of SHFE 1109 lead contracts were only 60 lots.
In domestic spot markets, spot prices remained relatively unchanged from the previous trading day. The brands of Nanfang and Chihong Zn & Ge were quoted between RMB 16,200-16,230/mt, with discounts of negative RMB 200/mt against SHFE 1110 lead contract prices. Other brands such as Hanjiang were quoted around RMB 16,150/mt. In the afternoon, well-known brands such as Nanfang and Chihong Zn & Ge were quoted between RMB 16,150-16,180/mt, while other brands were quoted around RMB 16,100/mt. Traders were pessimistic towards price trends, while downstream buyers were also cautious. But as spot lead prices were close to smelters’ costs, transactions improved.