SHANGHAI, Sept. 11 (SMM) – SHFE 1511 lead once drifted higher to RMB 13,410/mt after starting Wednesday evening session at RMB 13,320/mt, to ended up RMB 20/mt at RMB 13,345/mt. With growing sell-off pressure on SHFE lead, the SMM/LME lead price ratio slid to 7.8 from above 8.
SHFE lead sank to RMB 13,280/mt after the open of Thursday trading session. Growth in China’s CPI recorded a 13-month high but PPI slid for 42 months in a line, boosting expectation for demand in China. This helped SHFE lead to touch RMB 13,430/mt before ending at RMB 13,410/mt with a rise of RMB 85/mt. Trading volumes were around 4,952 lots and positions grew 342 to 15,382.
In Shanghai market, Nanfang brand settled RMB 100/mt over SHFE 1511 lead at RMB 13,430-13,440/mt on Thursday but few transactions were done. Traded prices were mainly RMB 13,390-13,400/mt for Humon, Hanjiang and Mengzi brands.
Shipments from Hechi Nanfang Nonferrous Metals Group, Shandong Humon Smelting and West Mining increased market supply. Few traders moved hedged goods out while downstream large producers increased purchase. Trading activity improved for Humon and Mengzi brands.