SHANGHAI, Apr. 10 (SMM) – SHFE 1306 lead contract price gapped higher at RMB 14,500/mt on Tuesday. China’s CPI for March was reported lower than expected and PPI held steady from February, reflecting easing inflation. Domestic stocks thus rallied to touch a high of 2,234, but failed to give a boost to SHFE lead. The contract for June delivery moved between RMB 14,420-14,470/mt with resistance at the 10-day moving average and support at the 5-day moving average, to finally close at RMB 14,480/mt, up RMB 55/mt from a day earlier. Trading volumes were down 52 lots to 88 lots, while holdings increased 58 lots to 2,124 lots.
SHFE lead prices gapped higher on April 9, boosting spot lead prices. Quotations for Chihong Zn & Ge were around RMB 14,270/mt, while those for Nanfang were around RMB 14,250/mt. YT lead was quoted at RMB 14,230/mt, and Tongguan was offered at RMB 14,260/mt, level with SHFE 1304 lead contract price, but deals were made at high prices. Later, as SHFE lead prices drifted down RMB 30/mt, spot lead prices dropped RMB 20/mt. Cargo holders were willing to move goods as SHFE lead prices started higher, but downstream buying interest remained low with strong wait-and-see mood. In the afternoon, prices for branded lead fell RMB 10/mt due to weak demand.