SMM Morning Review - 2012/2/16 Lead Market

SHANGHAI, Feb 16 (SMM) – LME lead prices overnight opened slightly lower and fluctuated up to hit a high of USD 2,110/mt as China pledged to aid eurozone. However, during US morning trading hours, since report said the second round bailout for Greece might be postponed, LME lead prices fell to USD 2,050/mt, the lowest since January 18. Although EU and Greek leaders were sending positive signals to markets, the lingering Greek debt issue remained to be a major concern in markets. LME lead prices finally closed at USD 2,073/mt, down USD 12/mt. Trading volumes decreased by 180 lots to 5,765 lots, positions increased by 837 lots to 109,000 lots. LME lead inventories were down 400 mt to 383,300 mt.

The US dollar index closed at 79.73, up 0.33. COMEX silver closed up USD 0.06/oz at USD 33.41/oz.

On Thursday, SHFE lead prices are expected to move between RMB 15,800-16,050/mt, and domestic spot prices should be between RMB 15,700-15,850/mt.