SMM Daily Review - 2012/7/19 Lead Market

SHANGHAI, Jul. 20 (SMM) – SHFE lead prices opened RMB 40/mt higher at RMB 14,995/mt Thursday boosted by positive US Housing Starts, and fluctuated up to hit RMB 15,075/mt since market sentiment was shored up by the rising domestic stock markets. SHFE lead prices finally closed up RMB 60/mt to RMB 15,020/mt. Trading volumes were up 66 lots to 246 lots, while positions increased 38 lots to 2,558 lots.

Spot lead prices edged up with spread among brands narrowing. Nanfang and Shuikoushan were mainly quoted between RMB 15,100-15,120/mt, with spot premiums over the most active SHFE lead price at RMB 100/mt. Quotations for Mengzi and Shenqian were between RMB 15,070-15,080/mt. Downstream buyers only made inquiries due to high prices, leaving limited deals done. In the afternoon, spot lead prices remained little changed despite the rise in futures market.