SHANGHAI, Jun. 23 (SMM) - SHFE 1508 lead moved higher to RMB 12,960-13,020/mt Thursday evening with falling shorts, to finish up RMB 95/mt at RMB 12,995/mt.
The contract moved around RMB 12,950/mt during Friday morning session and later fell on sell-offs, to end up RMB 20/mt at RMB 12,920/mt. Trading volumes totaled 4,800 lots whilst positions dropped 636 to 12,914.
In spot lead market, Nanfang brand was offered RMB 420/mt higher than SHFE 1508 lead at RMB 13,380/mt, versus RMB 13,250/mt for Shuangyan (packed in iron) brand.
Lead smelters shipped limited goods out and few traders were active in moving goods mainly due to weak downstream demand before Chinese Dragon Boat Festival from June 20-22. Large producers already finished building stocks whilst medium and small producers took holidays. Trades for lead ingot were very anemic as mounting battery inventories discouraged producers from producing.
Branded lead ingot in Henan was at a discount of RMB 50-100/mt against SMM #1 lead average price with the discount turning to wide. Goods delivered continued to flow into market in Guangdong with the price at about RMB 13,250/mt. Activity in deals was weak in Hunan and Jiangxi.