SHANGHAI, Nov. 4 (SMM) – LME lead opened Tuesday trading session at USD 1,704/mt and lurched down to USD 1,682/mt due to bearishness in market. But later, LME lead rolled back some losses thanks to growth in crude oil prices and the release of whole contents of China’s 13th five-year plan, to end at USD 1,694/mt, down by USD 2.5/mt. Trading volumes grew 15 to 3,072 lots whilst positions declined 100 to 124,045.
SHFE 1512 lead gapped lower at RMB 13,005/mt for night trading Tuesday and then ranged between RMB 12,910-13,125/mt with closing prices down RMB 60/mt or 0.46% at RMB 13045/mt. Trading volumes sew a slip of 1,976 to 918 and positions declined 56 to 11,424.
US September’s factory orders drop for two straight months and post YoY decline for eleven consecutive months. Global anemic demand and slack manufacturing industry ignite bearishness in market. But market expects more information after China's 5th plenary session of the 18th CPC Central Committee.
As such, LME lead will hover between USD 1,675-1,705/mt during Asian trading hours. SHFE 1512 lead should range between RMB 12,950-13,100/mt on November 4. China’s lead smelters are active in selling and consumption remains sluggish. Spot lead will fall to RMB 13,150-13,300/mt.