SHANGHAI, Oct. 22 (SMM) – LME lead prices overnight started at USD 2,179/mt in Asian trading hours. Later on, the Shanghai Composite Index surged on the news that some stocks were traded in “T+0” model at weekends, pushing up LME lead prices. During the European and US trading session, Chicago Federal Reserve President stated that the US government shutdown has disrupted the normal data flow, and the US Federal Reserve will also need more time to evaluate economic conditions from the data. The comments mean that the US Fed QE exit will presumably come later than expected. As a result, LME lead prices hit a recent high of USD 2,192/mt and finally ended at USD 2,190.5/mt, up USD 20.5/mt. Traded volumes decreased by 131 lots to 4,656 lots, while positions fell 395 lots to 120,909 lots, and LME lead inventories flat at 232,825 mt.
The US dollar index inched up 0.08% to 79.685, while the COMEX silver contract for December delivery closed at USD 21.22/oz, up USD 0.312/oz.
Investors will keenly watch the US non-farm payrolls and trade cautiously ahead of the result on Tuesday. Technically, LME lead prices have already come under great resistance to rises. In this context, LME lead prices are expected to fluctuate between USD 2,170-2,200/mt, while SHFE lead prices will possibly start higher to move in RMB 14,400-14,500/mt range. In China’s spot lead market, traded prices are expected between RMB 14,200-14,300/mt on Tuesday.