SHANGHAI, Jun. 26 (SMM) – LME lead prices started at USD 2,004/mt Tuesday, and hit a low of USD 1,986/mt due to concerns over China’s liquidity crunch and the Shanghai Composite Index falling below 1,900. Later, as the People’s Bank of China announced to use tools to adjust liquidity in banking system and safeguard stability in money markets, and injected liquidity to some banks, LME lead prices stopped falling. In US and European trading hours, the US April S&P/CS20 big city house price index and May’s new home sales both beat forecasts and outran previous levels, while the Conference Board Consumer Confidence Index in June rose from 76.2 to 81.4, well above the 75.1 expected. As such, LME lead prices increased to USD 2,060/mt due to recovering market mood, and finally ended at USD 2,050/mt, up USD 45/mt or 2.24%. Trading volumes were up 1,353 lots to 6,178 lots, and positions fell 1,051 lots to 122,000 lots.
The US dollar index continued to rise and closed at 82.16. COMEX silver for September delivery closed at USD 19.6/oz.
On June 26, SHFE 1309 lead contract price is expected to move between RMB 13,950-14,050/mt, with spot lead prices at RMB 13,700-13,850/mt.