SMM Lead Market Daily Review (2015-6-5)

SHANGHAI, Jun. 8 (SMM) – SHFE 1508 lead opened at RMB 13,205/mt Thursday evening and ended down RMB 5/mt at RMB 13,145/mt.

The contract kept fluctuating Friday and finished the day at RMB 13,100/mt, down RMB 50/mt or 0.38%. Trading volumes fell 1,006 to 2,768 lots while positions rose 388 to 11,250.

In spot market, Nanfang brand settled at RMB 13,680-13,690/mt, a RMB 520/mt premium over SHFE 1508 lead, versus RMB 13,660-13,670/mt for Chengyuan brand, RMB 13,620/mt for Shuangyan (packed in plastic) brand and RMB 13,300/mt for older Honglu goods.

Spot supply was abundant though smelters held back sales. Deals for primary lead failed to turn better due to low downstream operating rate and cheaper secondary lead.

Deals were made at RMB 13,520-13,600/mt in Henan market with trades soft. But trades picked up in Guangdong with local goods shipping to Jiangxi. And the prices were offered at RMB 13,350/mt in Guangdong.