SMM Daily Review - 2011/11/15 Lead Market

SHANGHAI, Nov. 16 (SMM) – SHFE lead prices opened lower at RMB 15,455/mt and moved between RMB 15,350-15,400/mt on Tuesday. In the afternoon, prices moved lower to RMB 15,320-15,370/mt due to the further drop of LME lead prices, but gained support at 10-day moving average, finally closing at RMB 15,325/mt, down RMB 195/mt, or 1.26%. Trading volumes decreased slightly by 18 lots to 436 lots, and positions dropped by 156 lots to 1,692 lots, with the turnover rate of 5.96%. SHFE lead prices resisted declines.

SHFE lead prices opened lower and then moved around the moving average. In domestic spot markets, quotations for well-known lead brands such as Nanfang, Chihong Zn & Ge, and Hanjiang were between RMB 15,400-15,450/mt, with premiums against SHFE 1112 lead contract prices of RMB 30-50/mt. Traded prices of other brands such as Baiyin were around RMB 15,380/mt. In the afternoon, as lead futures prices fell further, traded prices of brands including Nanfang and Chihong Zn & Ge dropped to RMB 15,360-15,400/mt. Transactions were still quiet with wait-and-see sentiment.