SMM Morning Review - 2012/2/20 Lead Market

SMM Insight 09:47:56AM Feb 20, 2012 Source:SMM

SHANGHAI, Feb. 20 (SMM) – LME lead prices overnight moved between USD 2,030-2,045/mt due to a lack of clear direction. Later, as it was reported EFSF would launch the European Sovereign Bond Protection Facility and the US House of Representatives approved an extension of the payroll tax cut and unemployment compensation through 2012, LME lead prices were boosted to hit a high of USD 2,071/mt. The eurozone meeting to be held on Monday was still a market focus, and investors remained cautious before final decision is made concerning to the Greek bailout. Thus, LME lead prices surrendered some earlier gains at the tail of trading and closed at USD 2,035/mt, up USD 4/mt. Trading volumes increased by 619 lots to 6,721 lots, and positions decreased by 98 lots to 109,000 lots. LME lead inventories were down 2,225 mt to 379,800 mt.

The US dollar index closed up 0.05 at 79.43, and COMEX silver closed at USD 33.29/oz, down USD 0.18/oz.

On Monday, SHFE lead prices should move between RMB 15,600-15,900/mt and domestic spot market should be between RMB 15,600-15,750/mt.

SMM Morning Review - 2012/2/20 Lead Market

SMM Insight 09:47:56AM Feb 20, 2012 Source:SMM

SHANGHAI, Feb. 20 (SMM) – LME lead prices overnight moved between USD 2,030-2,045/mt due to a lack of clear direction. Later, as it was reported EFSF would launch the European Sovereign Bond Protection Facility and the US House of Representatives approved an extension of the payroll tax cut and unemployment compensation through 2012, LME lead prices were boosted to hit a high of USD 2,071/mt. The eurozone meeting to be held on Monday was still a market focus, and investors remained cautious before final decision is made concerning to the Greek bailout. Thus, LME lead prices surrendered some earlier gains at the tail of trading and closed at USD 2,035/mt, up USD 4/mt. Trading volumes increased by 619 lots to 6,721 lots, and positions decreased by 98 lots to 109,000 lots. LME lead inventories were down 2,225 mt to 379,800 mt.

The US dollar index closed up 0.05 at 79.43, and COMEX silver closed at USD 33.29/oz, down USD 0.18/oz.

On Monday, SHFE lead prices should move between RMB 15,600-15,900/mt and domestic spot market should be between RMB 15,600-15,750/mt.