SHANGHAI, Oct. 10 (SMM) – LME lead contract prices overnight started at USD 2,093/mt and later basically hovered at the price mark for lack of any upbeat market-driven factors in Asian trading hours. Minutes of the Federal Reserve’s last meeting, released in European and US trading session, showed that most Fed officials were inclined to scale back bond purchases from 2013 although their opinions were divided. Besides, US president Barack Obama signaled that he was open to a short-term debt limit increase, while the Republicans also dropped their demand for spending cuts to healthcare reform as one concession. As a result, the US dollar index hiked 0.43%, but LME lead prices reached as low as USD 2,065/mt and finally closed at USD 2,080/mt, with a loss of USD 12.8/mt. Trade volume gained 215 lots to 3,853 lots. Positions increased 299 lots to 123,497 lots. LME lead stocks shrank 375 mt to 236,425 mt.
The US dollar index ended up at 80.358, while the COMEX silver contract for December delivery lost USD 0.553/oz to finish at USD 21.89/oz.
Markets will continue to digest Fed’s minutes of September’s meeting in Asian trading session on Thursday. Besides, investors will remain cautious with no final agreement to raise US government debt ceiling. LME lead prices are expected to move in USD 2,070-2,090/mt range. The most-traded SHFE lead contract prices will possibly fall back to RMB 14,000-14,100/mt, while spot lead prices are likely to trade between RMB 13,900-14,000/mt on Thursday.