SHANGHAI, May 28 (SMM) –Last week, SHFE lead prices, heavily influenced by LME lead prices, moved narrowly between RMB 15,000-15,250/mt, but with strong support at RMB 15,000/mt. SHFE lead prices are expected to be RMB 15,000-15,250/mt this week.
In China’s domestic spot markets, transactions were limited last week and spot lead prices moved mainly between RMB 15,150-15,300/mt, with premiums over the most active SHFE lead contract price expanding from RMB 50/mt to RMB 150/mt. Some smelters, however, were reluctant to move goods and downstream buyers were unwilling to purchase due to poor downstream orders. China’s domestic spot markets will not likely improve given continuous declines in SHFE lead prices and soft demand. Both smelters and dealers are unwilling to sell goods, so spot prices should move between RMB 15,150-15,300/mt this week.