SHANGHAI, Jul. 9 (SMM) – Last week, SHFE lead prices rose above RMB 15,000/mt, up from RMB 14,700/mt, but still met resistance at the 30-day moving average. SHFE lead prices are expected to remain above RMB 15,000/mt this week, but meet strong resistance at the 60-day moving average.

In China’s domestic spot markets, lead prices remained between RMB 14,720-15,000/mt last week, with spot premiums over the most active SHFE lead price narrowing from RMB 150/mt to RMB 10-20/mt. Some smelters showed greater interest in selling as spot lead prices stabilized, while downstream buyers were also more active purchasing. Spot lead prices should rise along with SHFE lead prices, with prices for branded lead hovering above RMB 15,000/mt. Smelters will be more willing to sell since prices have been rising steadily since early June, but downstream buyers should still continue to purchase based only on orders. Buying interest is expected to improve with the coming high-demand season for electric vehicles in July, although demand will be weaker than in past years.