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

SHANGHAI, Mar. 28 (SMM) – SHFE 1305 lead contract price started lower at RMB 14,485/mt on March 27 as the mixed US economic and worries about the influence of the Cyrus bailout drove the LME lead prices to fall sharply overnight. Prices then moved narrowly between RMB 14,470-14,500/mt with investors unwilling to enter the market, and finally closed down RMB 120/mt to RMB 14,450/mt. Traded volumes were up 58 lots to 232 lots, and positions remained unchanged.

Spot lead prices remained stable, with spot discounts over the most active SHFE lead contract price narrowing to RMB 60/mt. Chihong Zn & Ge and Nanfang were quoted at RMB 14,420/mt and RMB 14,380/mt, and prices for Mengzi were offered at RMB 14,350/mt. Downstream buying interest remained low and smelters were also reluctant to sell goods, leaving transactions poor. In the afternoon, lead prices changed little and both suppliers and buyers were not interested in entering the market.