#1 Lead Price Movement in Shanghai Market (2014-3-17)

SHANGHAI, Mar. 17 (SMM) – Goods from Chihong Zn & Ge initially traded on Monday at RMB 13,620/mt in Shanghai, a premium of RMB 50/mt over the most active SHFE lead contract price, and then were sold higher at RMB 13,650/mt, boosted by rising SHFE lead prices. Yubei and Shuangyan resources traded at RMB 13,620/mt and RMB 13,570/m, respectively. Spot quotations were rare in the market since lead smelters traded in light volumes. Lead prices hit the lowest level last seen in August 2009. Despite limited downside room in the near term, lead prices were not expected to trend higher. In this context, downstream producers largely conducted purchases only on an as-needed basis, with trading activity fairly quite on Monday.