SHANGHAI, Mar. 5 (SMM) – Last week, SHFE lead prices followed LME lead movements and initially rose to RMB 16,400/mt, but then fell back to RMB 16,150/mt. SHFE lead prices should move between RMB 15,900-16,500/mt this coming week.
In China’s domestic spot markets, lead prices rose on Wednesday to RMB 16,050/mt, up from RMB 15,950/mt at the beginning of the week, and with discounts over the most active SHFE lead contract price expanding to RMB 200-300/mt. Selling interest among smelters improved early last week due to the rising lead prices but fell later as lead prices dropped below RMB 16,000/mt. In the coming week, selling interest of smelters will be lower as financial pressures ease and due to optimistic expectations of future lead price. On the other hand, downstream buyers are expected to purchase on an as-needed basis due to high prices, with spot prices expected at RMB 15,800-16,200/mt.