SMM net news: spot market: yesterday, lead prices continue to show the trend of shock and weakness, and from the holder's premium quotation, some of the holders raised the discount. On the other hand, the downstream battery enterprises purchase on demand, the inquiry is slightly higher than the previous day, the bulk transaction is also slightly improved, the follow-up need to continue to pay attention to whether this situation will continue.
Inventory status: yesterday, lead stocks in the previous period fell slightly by 25 tons to 22419 tons compared with the previous trading day. After the delivery date of last month, the inventory in the previous period continued to show a slow rise, so that the current inventory is still in a relatively high position, on the contrary, downstream demand has always shown a dismal situation. Therefore, the current focus still needs to pay attention to the actual demand of downstream battery enterprises. At a time when last-term and social inventories total about 57000 tons, compared with just over 8500 positions in July, it seems relatively difficult to close positions in previous years. However, the future needs to pay attention to whether downstream demand can recover in the summer, the current August contract positions of about 50,000 hands, and such inventory to position ratio still has the possibility of pressing positions.
Import profit and loss situation: yesterday's RMB midpoint rose 127 basis points from the previous trading day to 6.8640, yesterday's domestic lead prices continued to be weak, not the current import profit window has not yet reached the open state. And the current downstream demand is still no obvious signs of recovery, and in the case of dismal demand, even if the future import profit window is open, it is expected to have a large number of foreign inventory inflow.
Price difference between recycled lead and primary lead: yesterday the price difference narrowed to-150 yuan / ton, which may also be due to the slight recovery in demand mentioned above, resulting in a certain preference for recycled lead with price advantage. As a result, the price difference between recycled lead and primary lead has been narrowed, and the price of waste batteries has also been slightly loosened, which may weaken the support from the cost end of the price of renewable lead in the future.
Neutral, yesterday lead prices continue to show a concussive downward trend, downstream demand has improved slightly, renewable lead and primary lead price gap narrowed, the current need to focus on lead varieties of traditional consumption season approaching whether the purchase of enterprises can gradually warm up, and in the operation of the first relatively neutral thinking of high throwing and low absorption. On the other hand, enterprises that hold spot can continue to take the operation of selling call options to collect royalties.
Inventory changes in the last period of demand of downstream storage enterprises. (source: Huatai Futures)