SMM Daily Review - 2011/11/8 Lead Market

SHAGNHAI, Nov. 9 (SMM) -- On Tuesday, SHFE lead prices opened at RMB 15,415/mt and then fell to RMB 15,300/mt, finding support at the 5-day moving average. Boosted by LME lead prices overnight, SHFE lead prices rallied to move between RMB 15,330-15,380/mt, with prices closing at RMB 15,335/mt, down RMB 70/mt. Trading volumes decreased by 32 lots to 334 lots, and total positions decreased by 62 lots to 1,906 lots.

In domestic spot markets, well-known brands prevailed in the market, with prices moving below RMB 15,400/mt. The brands Nanfang and Chihong Zn & Ge were traded between RMB 15,350-15,400/mt, and with transactions of other brands rarely reported. Downstream buyers increased purchases as lead prices stabilized. But transactions became muted in the afternoon.