SMM Morning Review - 2012/7/2 Lead Market

SHANGHAI, Jul. 2 (SMM) – Last Friday, EU leaders agreed to provide EUR 120-130 billion to boost economic growth and to directly inject capital to Spanish banking system, and decided to take measures to cut down bond yields in Spain and Italy. LME lead prices, boosted by the beyond-expected result of EU summit, rallied after opening at USD 1,770/mt and closed at USD 1,875/mt, up USD 107/mt or up 6.05%, presenting the largest gain among all base metals

The US dollar index slumped 1.39% to 81.58, while COMEX silver for September delivery closed at USD 27.6/oz, up USD 1.32/oz or 5.02%.

SHFE lead prices are expected to test RMB 15,000/mt on Monday, with spot lead expected to be traded between RMB 14,850-15,000.