SMM Daily Review - 2012/6/13 Lead Market

SHANGHAI, Jun. 14 (SMM) – SHFE lead prices opened at RMB 15,035/mt and moved narrowly between RMB 15,000-15,020/mt Wednesday, to finally close at RMB 15,015/mt, down RMB 10/mt from the previous trading day. SHFE lead prices were still under resistance at the 5 and 10-day moving averages. Trading volumes rose by 106 lots to 210 lots, and positions were up 18 lots to 2,218 lots.

Quotations for branded lead in China’s spot lead market, including Nanfang and Shuikoushan, were between RMB 15,100-15,110/mt, with spot premiums of RMB 100/mt against the most active SHFE lead contract price. Brands from Gejiu region were quoted at RMB 15,000/mt. Offers of Shenqian was at RMB 14,960/mt. Selling interest of smelters was low, and dealers in Shanghai were unwilling to sell goods due to limited supply for branded lead and uncertain market outlook. Buyers purchased cautiously and transactions were weak.