SHFE #1 Lead Price Movement on February 21

SHANGHAI, Feb. 21 (SMM) – On Tuesday, SHFE lead price moved between RMB 15,700-15,760/mt after opening. In China’s domestic spot markets, initial quotations for well-known brands such as Chihong Zn & Ge, Chengyuan, Nanfang and Shuikoushan were RMB 15,700/mt, with discounts against the most active SHFE lead contract price at RMB 50/mt. Other brands such as Shenqian were mainly quoted at RMB 15,600/mt. As market players were optimistic to the result of eurozone finance ministers’ meeting, and downstream buyers, expecting an increase in lead prices, were more actively making inquiries and purchased on an as-needed basis. At around 10:50 a.m., eurozone finance ministers reached agreement on the second round of Greek bailout loans, agreeing to offer EUR 130 billion in aid and urging the country to bring down its debt-to-GDP ratio to 121% by 2020. Thus, the US dollar index fell and SHFE lead prices moved up along with LME lead prices to RMB 15,800/mt. In domestic spot market, prices of branded lead increased to RMB 15,750-15,770/mt, maintaining discounts against the most active SHFE lead contract price. Prices of Shenqian lead from Fujian also rose to RMB 15,620/mt. Buying interest was low after the increase in prices.