SHANGHAI, Jun. 14 (SMM) – SHFE 1306 lead prices, the most actively traded contract, was off RMB 180/mt off from settlement price last Friday to RMB 13,825/mt at 10:10 am on Thursday, plagued by falling LME lead prices during the Chinese Dragon Boat Festival. LME lead prices surrendered all the gains made since early June during the holiday period, causing SHFE lead prices to slid below RMB 14,000/mt after the holiday. Wide fluctuations in the LME lead market and an over 3% drop in China’s stock market added to market caution, leaving poor trading, with SHFE lead prices fluctuating around RMB 13,810/mt. In the afternoon trading, SHFE lead prices were up RMB 30/mt due to buying support, and finally closed at RMB 13,850/mt, down RMB 195/mt or 1.39%, and closing prices were RMB 13,839/mt, slightly lower than settlement prices. Overall positions were little changed. Trading volumes of SHFE 1306 lead contract were up 8 lots to 64 lots, and positions were down 4 lots to 1,814 lots. Transactions of all SHFE lead contracts were up 296 lots to 700 lots, and positions were off 84 lots to 6,134 lots. Economic growth concerns and no demand improvement are continuing to weigh down the lead market, and SHFE lead prices are expected to head for corrections.
SMM Lead Market Daily Review (2013-6-13)