SMM Brief on SHFE Lead Futures (2013-7-15)

SHANGHAI, Jul. 15 (SMM) – On Monday, SHFE lead price trends were little affected by the release of China’s Q2 GDP growth as the figure was basically in line with expectation. The SHFE 1309 lead contract price started at RMB 13,900/mt and moved around RMB 13,800/mt before 11:00 with moving range narrowing compared with last Friday. At midday, prices presented a sudden rally of RMB 20/mt but only fluctuated between RMB 13,870-13,900/mt later, ending the day at RMB 13,890/mt, up RMB 15/mt from the previous trading day. Trading volumes were down 18 lots to 66 lots, and positions increased 22 lots to 2,500 lots. The strong resistance at several moving averages may still be major hurdles for any increase in lead prices.