SMM Lead Market Morning Review (2013-10-11)

Price Review & Forecast 10:01:09AM Oct 11, 2013 Source:SMM

SHANGHAI, Oct. 11 (SMM) – With a lack of clear market direction, LME lead prices overnight fluctuated narrowly between the 5-day moving average and the 20-day moving average after starting at USD 2,076.3/mt in Asian trading hours. During the European and US trading session, LME lead contract prices reached an intraday low of USD 2,063/mt. The market later was heartened by the news that Republicans offered a six-week increase in the federal debt ceiling in exchange for negotiations with President Obama, pushing off the threat of default until November. As a result, the European and US stocks advanced significantly, and LME lead prices arrested some declines to end at USD 2,079.8/mt, down USD 0.3/mt. Trade volume shed by 923 lots to 2,930 lots, while positions contracted by 65 lots to 123,432 lots.

 
The US dollar index inched up 0.16% to finish at 80.49, barely encouraged by the thaw in US budgetary issues, while the COMEX silver contract for December delivery closed at USD 21.68/oz, with a loss of USD 0.211/oz. 
 
Markets will possibly be relieved by the six-week increase in the federal debt ceiling overnight. LME lead prices are expected to move between USD 2,070-2,100/mt, while SHFE lead prices will mostly trade in RMB 14,100-14,200/mt range and may reach the mark of RMB 14,200/mt on Friday. The spot lead prices are expected to trade between RMB 13,950-14,100/mt on recovering demand with the upcoming weekend and stabilizing lead price on Friday.         
 

SMM Lead Market Morning Review (2013-10-11)

Price Review & Forecast 10:01:09AM Oct 11, 2013 Source:SMM

SHANGHAI, Oct. 11 (SMM) – With a lack of clear market direction, LME lead prices overnight fluctuated narrowly between the 5-day moving average and the 20-day moving average after starting at USD 2,076.3/mt in Asian trading hours. During the European and US trading session, LME lead contract prices reached an intraday low of USD 2,063/mt. The market later was heartened by the news that Republicans offered a six-week increase in the federal debt ceiling in exchange for negotiations with President Obama, pushing off the threat of default until November. As a result, the European and US stocks advanced significantly, and LME lead prices arrested some declines to end at USD 2,079.8/mt, down USD 0.3/mt. Trade volume shed by 923 lots to 2,930 lots, while positions contracted by 65 lots to 123,432 lots.

 
The US dollar index inched up 0.16% to finish at 80.49, barely encouraged by the thaw in US budgetary issues, while the COMEX silver contract for December delivery closed at USD 21.68/oz, with a loss of USD 0.211/oz. 
 
Markets will possibly be relieved by the six-week increase in the federal debt ceiling overnight. LME lead prices are expected to move between USD 2,070-2,100/mt, while SHFE lead prices will mostly trade in RMB 14,100-14,200/mt range and may reach the mark of RMB 14,200/mt on Friday. The spot lead prices are expected to trade between RMB 13,950-14,100/mt on recovering demand with the upcoming weekend and stabilizing lead price on Friday.