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Home / Metal News / What are the Factors to Curb China Secondary Lead Prices?

What are the Factors to Curb China Secondary Lead Prices?

Dec 25, 2015 15:39

Source:SMM

What are the factors to Curb China Secondary Lead Prices?

SHANGHAI, Dec. 25 (SMM) – Secondary lead prices stabilize recently in China despite strong lead prices. What facts limit growth in secondary lead prices?

Volatile lead prices should be blamed first of all. Average price of SMM #1 lead on Dec. 25 grew 150 yuan per tonne from last Friday while that only increased 10 yuan per tonne for this past week, on a weekly basis. As such, mainstream prices were still at 12,550-12,700 yuan per tonne (tax included) in secondary lead market.

Cost support weakens because of falling demand for scrap batteries as lots of disqualified secondary lead smelters shut down owing to environmental protection crackdowns.

Bearish sentiment picks up after lead prices register larger gains than others, boding ill for secondary lead prices.

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