SMM Brief on SHFE Lead Futures (2013-7-17)

SHANGHAI, Jul. 17 (SMM) – SHFE lead prices opened at RMB 13,880/mt on July 17 and climbed to RMB 13,900/mt as the positive June Conference Board Leading Economic Index for China shored up investors. However, prices met resistance at the 5-day moving average, and failed to extend increase in the afternoon. Moreover, China’s Finance Minister said significant fiscal stimulus is not expected this year, while policies will be fine tuned, so Chinese stocks surrendered earlier gains and SHFE 1309 lead contract price fell back to RMB 13,880/mt, down RMB 10/mt from a day earlier. Trading volumes were up 30 lots to 42 lots, while positions increased 26 lots to 2,526 lots.