SHAGNHAI, Oct. 20 (SMM) -- On Wednesday, SHFE 1112 lead contract became the most actively traded, with prices opening at RMB 14,660/mt then moving between RMB 14,540-14,620/mt. Dragged down by LME lead prices and domestic stock markets, SHFE lead prices fell RMB 100/mt to move between RMB 14,370-14,500/mt, and finally closed at RMB 14,470/mt, down RMB 110/mt. Trading volumes decreased by 124 lots to 880 lots, and total positions decreased by 46 lots to 2,020 lots.
In domestic spot markets, the brand Chihong Zn & Ge was quoted between RMB 14,700-147,100/mt, with premiums of RMB 100-110/mt against SHFE 1111 lead contract prices. Other brands such as Yubei, Jinguan, Nanfang and Hanjiang were initially quoted around RMB 14,650/mt, and with prices rising to RMB 14,700/mt later the day. Quotations of the Gejiu brand were rarely reported. In the afternoon, SHFE lead prices fell further by RMB 100/mt, with spot prices between RMB 14,630-14,650/mt, RMB 100/mt higher than SHFE 1111 lead contract prices. Smelters were holding goods at lower prices, giving support to spot prices and causing premiums to expand. Traders had some goods at hand after delivery, while downstream buyers purchased at lower prices, causing transactions to improve.