SHANGHAI, Oct. 22 (SMM) – Since the two-day EU summit failed to put forward any resolution to the debt issues in Greece and Spain, disappointing market players, LME lead prices fell sharply last Friday. The US equities also presented noticeable losses due to the worse-than-expected performances reported by Microsoft, Macdonald’s and GM. LME lead dropped after opening at USD 2,159/mt as a result, and fluctuated around USD 2,130/mt. At the tail of trading, the US dollar index climbed, fueling selling pressures and driving LME lead to hit a low of USD 2,107/mt to close at USD 2,113.8/mt, down USD 42.5/mt or 1.97%. Trading volumes were down 69 lots to 5,983 lots, and positions were up 1,923 lots 140,560 lots. LME lead inventories fell to 293,675 mt down 1,600 mt. Market should focus on interest rate decision of the Fed and Canadian central bank, and the US 3Q GDP data.
The US dollar index closed up 0.27 at 79.63, and COMEX silver for December delivery ended at USD 32.10/oz, down 2.35%.
On October 22, SHFE 1212 lead contract prices are expected to hover at RMB 15,500-15,750/mt, and spot lead prices should be RMB 15,350-15,550/mt.