SHANGHAI, Sep 10 (SMM) – Social inventories of lead ingots across Shanghai, Guangdong, Zhejiang, Jiangsu and Tianjin increased 4,100 mt from September 3 and rose 3,000 mt from September 6 to 210,700 mt as of September 10.
Lead prices showed V-shaped trend and broke the breakeven point of secondary lead. Smelters generally lowered shipments while downstream producers held a cautious outlook. Some holders began to deliver goods and in-plant stocks of lead ingots transferred to social inventories. Secondary lead smelters in Guangdong suspended production amid environmental protection inspections and downstream plants turned to restock primary lead. Thus, stocks in Guangdong declined again. Lead ingot stocks are likely to continue to transfer to warehouses as next week is for delivery. Losses of secondary lead partly recovered as lead prices increased. Social inventories of lead ingots are expected to increase next week amid the commission of newly expanded smelters.