Market Concerns Over Trade Frictions; LME Lead Trading Center Shifts Lower [SMM Lead Morning Brief]

SMM, February 12:

Overnight, LME lead opened at $1,998/mt. Following the announcement of new US tariff policies, market concerns over the economic impact of trade frictions intensified. Coupled with hawkish remarks from the Fed Chairman, LME lead fell back from highs. Particularly during the European session, LME lead inventory increased by over 3,000 mt, causing the trading center of LME lead to shift further downward, approaching $1,970/mt. By the close, it settled at $1,976/mt, down 1.08%.

Overnight, dragged down by the decline in LME lead, the most-traded SHFE lead 2503 contract opened lower with a gap at 17,065 yuan/mt. Subsequently, the tug-of-war between longs and shorts intensified, with SHFE lead consolidating mostly between 17,060-17,090 yuan/mt, eventually closing at 17,060 yuan/mt, down 0.41%. Its open interest reached 39,564 lots, a decrease of 716 lots compared to the previous trading day.