SMM Lead Market Morning Review (2013-3-27)

SHANGHAI, Mar. 27 (SMM) – LME lead prices began at USD 2,185/mt in Asian trading hours Tuesday and moved between USD 2,170-2,185/mt as market was quiet after the Cyprus reached agreement with its international creditors. Later, although the US February durable goods orders beat both forecast and January’s figure, the orders excluding transportation sector were actually down MoM. Besides, February’s new home sales and the Conference Board Consumer Confidence Index for March were both worse than expected. In response, LME lead prices fell to USD 2,128/mt before closing at USD 2,137.5/mt, down USD 46.5/mt or 2.13%. Trading volumes increased 3,866 lots to 6,528 lots, while positions rose 473 lots to around 115,000 lots. LME lead inventories were down 1,000 mt to 265,975 mt.

The US dollar index closed at 82.88, and COMEX silver for May delivery closed USD 0.11/oz lower at USD 28.7/oz.

On March 27, SHFE 1305 lead contract price will likely move between RMB 14,400-14,550/mt, with spot lead prices expected at RMB 14,350-14,500/mt.