SHANGHAI, Jun 30 (SMM) – According to SMM research, a total social inventory of lead ingots in Shanghai, Guangdong, Zhejiang, Jiangsu and Tianjin was 31,400 mt as of June 30, an decrease of 11,300 mt from June 21 and 4,100 mt from June 26.
According to the survey, the Shanghai-London ratio of lead narrowed in the past two weeks, giving a window to export lead ingots. Domestic lead ingots were moved to warehouses for export, but the shift of lead ingots to warehouses was interrupted by the Dragon Boat Festival holiday. This week, the transfer of lead ingots continued, decreasing social inventory in Jiangsu, Tianjin and other regions. During the week, lead prices soared and fell, and downstream companies replenished their stocks just as needed, which was also one of the factors for the decline in the social inventory of lead ingots. Until Friday, the decline in LME lead expanded, and the export window for lead ingots was closed. At the same time, as lead smelters resumed after maintenance in July, and the supply of lead ingots is expected to rise. Next week, the delivery date of the SHFE 2307 lead contract is approaching. The subsequent delivery of lead ingots to warehouses may become the main factor for the social accumulation of lead ingots.