SHANGHAI, Jan 25 (SMM) – Social inventories of primary lead across Shanghai and Guangdong extended their decline by some 4,600 mt in the week ended January 25 to stand at 7,100 mt, SMM data showed. On a weekly basis, inventories fell below the 10,000 mt level for the first time in three months. 

Smaller supplies of secondary lead and its smaller price advantage drove buyers towards primary lead, resulting in lower stocks across Shanghai and Guangdong. This week, more secondary smelters began their holiday for CNY, SMM learned. 

Primary smelters reduced their delivery of cargoes to social warehouses, to guarantee the production of lead alloy before workers start breaks. This, together with maintenance at some primary smelters in Henan and Hunan provinces, also weighed on social inventories of primary lead.