SMM Daily Review - 2011/9/20 Lead Market

SHAGNHAI, Sept. 21 (SMM) -- On Tuesday, SHFE lead prices opened at RMB 15,575/mt, RMB 230/mt lower than the previous day’s opening prices, then touched RMB 15,880/mt. Later the day, SHFE lead prices fell to RMB 15,680-15,750/mt, and finally closed at RMB 15,750/mt, down RMB 240/mt, or down 1.5%. Total positions decreased by 254 lots to 2,294 lots, and trading volumes increased by 480 lots to 2,294 lots.

In domestic spot markets, well-known brands such as Nanfang and Chihong Zn & Ge were quoted between RMB 15,700-15,760/mt, close to SHFE lead prices. Other brands such as Baiyin were generally quoted around RMB 15,650/mt. The market was cautious due to pessimism. Goods supply available was sufficient as some traders were actively moving goods. Lead prices fell to RMB 15,600-15,700/mt in the afternoon, with the brand Chihong Zn & Ge quoted at RMB 15,750/mt, but with transactions quiet at the high end. Traders reported improving transactions as lead prices fell in the afternoon, while downstream buyers were actively purchasing.