SMM Morning Review - 2012/2/1 Lead Market

SHANGHAI, Feb. 1 (SMM) – LME lead prices overnight opened at USD 2,266/mt and moved weakly with pressure at the 5-day moving average. During European trading session, both US Consumer Confidence Index and Chicago PMI in January were reported to be lower than expectations, adding investors’ doubts on the US economic recovery. LME lead prices fell as investors booked profits, and finally closed at USD 2,205/mt, down USD 59/mt or 2.62%. Trading volumes increased by 2,173 lots to 5,931 lots, and positions were up 2,518 lots to 107,000 lots. LME lead inventories continued to rise to 363,150 mt, up 18,050 mt.

The US dollar index moved around the 79 mark and closed at 79.28. COMEX silver closed at USD 33.3/oz, down USD 0.23/oz.

On Wednesday, SHFE lead prices may move between RMB 15,900-16,200/mt. Domestic spot prices should be between RMB 15,850-16,000/mt.