SMM Morning Review - 2012/7/17 Lead Market

SHANGHAI, Jul. 17 (SMM) – LME lead prices fluctuated down along with the falling Chinese stock markets during Asian trading hours overnight, and touched a low of USD 1,862.5/mt. The US June retail sales released last night was down 0.6% from May, below the expected 0.2% growth, so market expects Bernanke may mention about the implementation of QE3 at his testimony on US monetary policy tonight. LME lead prices thus fluctuated up to near USD 1,900/mt during European trading session and closed at an intraday high of USD 1,898.8/mt with strong support.

The US dollar index closed at 83.15, and COMEX silver for September delivery closed at USD 27.32/oz.

SHFE lead prices are expected to move between RMB 14,900-15,100/mt, and spot lead prices should be RMB 14,950-15,100/mt.