SHFE Lead Prices Trade down 0.15% (Oct. 14, 2015)

SHANGHAI, Oct. 14 (SMM) – With overall bearishness, SHFE 1512 lead gapped lower at RMB 13,540/mt for night trading Tuesday and narrowly moved around RMB 13,550/mt, to end at RMB 13,525/mt, losing RMB 55/mt. Trading volumes decreased 4,688 to 8,60 lots and positions fell 18 to 14,770.

SHFE 1512 lead returned to RMB 13,590/mt after opening Wednesday trading session and met resistance at RMB 13,600/mt. Near session’s end, the most actively-traded contract suffered heavy sell-offs by shorts and closed at RMB 13,560/mt, down by RMB 20/mt or 0.15%. Trading volumes dropped 1,916 to 3,632 lots while positions increased 506 to 15,294.

China’s PPI for September dropped for 43 consecutive months by 5.9% YoY while CPI grew1.6% from a year ago, missing forecast and August’s. This also showed deflation pressure in China.  

SHFE 1512 lead is predicted to consolidate support at the 5-day moving average tonight with strong resistance at RMB 13,600/mt and growing shorts.