SMM Daily Review - 2012/2/7 Lead Market

SHANGHAI, Feb 8 (SMM) – On Tuesday, SHFE lead prices opened slightly lower at RMB 16,190/mt and fluctuated around RMB 16,160/mt. In the afternoon, SHFE lead prices fell to move between RMB 16,050-16,100/mt due to the dropping Chinese domestic stocks, and finally closed at RMB 16,050/mt, down RMB 195/mt or 1.2%. Trading volumes decreased by 74 lots to 168 lots, and positions increased by 12 lots to 1,856 lots.

In domestic spot markets, domestic well-known brands such as Nanfang and Chihong Zn & Ge were preliminarily quoted at RMB 16,050/mt. Later, spot prices fell to around RMB 16,000/mt influenced by SHFE lead prices, with discounts against SHFE lead prices remaining at RMB 100/mt. Others including lead from Gejiu were quoted at RMB 15,900/mt. In the afternoon, SHFE lead prices continued to fall, and quotations for Nanfang were at RMB 15,900/mt. Purchases did not improve due to weak demand.