SHANGHAI, Jun. 24 (SMM) – SHFE 1309 lead contract price gapped RMB 150/mt lower at RMB 13,915/mt on June 21 due to the 2% decline in LME lead prices overnight, a new low for the year. Later, as longs increased positions and shorts exited the market ahead of the weekend, SHFE lead moved up to RMB 14,005/mt before closing at RMB 13,980/mt, down RMB 15/mt. Trading volumes were down 324 lots t 178 lots, and positions were up 78 lots to 1,660 lots. The Shanghai/LME lead price ratio was 6.89 at the time of closing. Demand in spot lead markets remained sluggish and LME lead prices are unlikely to see uptick next week.
SHFE 1309 lead contract price edged up after gapping lower on Friday, and spot lead prices fell noticeably. Traders mainly sold down inventories ahead of the weekend, and downstream buyers purchased according to production needs. Most investors were still bearish to lead market. Chihong Zn & Ge was quoted at RMB 13,850/mt, with discount of RMB 110/mt against the most active SHFE lead contract price, but transaction was quiet. Shuikoushan and Nanfang were mainly offered at RMB 13,790/mt, and Hanjiang was offered at RMB 13,780/mt. Trading remained light on the whole.