SHANGHAI, Aug. 27 (SMM) – SHFE 1510 lead opened at RMB 13,240/mt for night trading Tuesday and advanced to RMB13,425/mt in response to the PBOC’s announcement. The contract closed at RMB 13,340/mt, up RMB 260/mt or 1.99%. Trading volumes dropped 5,124 to 3,728 lots and positions fell 30 to 17,530.
Lead for delivery in October once fell to RMB 13,170/mt during Wednesday trading session and then returned to RMB 13,330/mt. But later, the contract retreated earlier gains in response to a drop in Chinese stock market and closed at RMB 13,205/mt, rising RMB 125/mt. Trading volumes totaled 7,226 lots and positions declined 242 to 17,318.
On Wednesday, Nanfang brand quoted at RMB 13,300-13,310/mt in Shanghai, premiums of RMB 70/mt over SHFE 1510 lead. Trade prices were RMB 13,290-13,300/mt for Jinyuteng and Humon brands, versus RMB 13,250/mt for Shuangyan brand (packed in iron).
Hechi Nanfang Nonferrous Metals Group and Shandong Humon Smelting moved a small portion of goods. Lead prices held firmer due to supply shortage. Hence, large producers cut purchase, leaving trades softening.