SMM Shanghai and Other 1# Lead Markets: Lead Prices Stop Falling and Stabilize, Downstream Enterprises Mostly Purchase as Needed [SMM Midday Review]

        SMM May 23: In the Shanghai market, Chihong and Honglu lead were quoted at 16,780-16,840 yuan/mt, with premiums of -20~0 yuan/mt against the SHFE lead 2506 contract. In the Jiangsu-Zhejiang region, JCC lead was quoted at 16,780-16,840 yuan/mt, with premiums of -20~0 yuan/mt against the 2506 contract. SHFE lead showed a trend of probing lows and rebounding, with suppliers following the market to sell, and the quoted premiums remained unchanged from yesterday. Additionally, ex-factory quotations for primary lead smelter cargoes self-picked up from production site were at premiums of -50~+150 yuan/mt against the SMM 1# lead average price. Secondary lead smelters showed strong sentiment of wait-and-see, either suspending shipments or refusing to budge on prices. Secondary refined lead was quoted at premiums of -50~0 yuan/mt against the SMM 1# lead price ex-factory, with some at premiums of +50~+100 yuan/mt. Downstream enterprises maintained purchasing as needed, with moderate transactions in some regions, while most regions still saw sluggish transactions.

        Other markets: Today, the SMM 1# lead price increased by 25 yuan/mt compared to the previous trading day. In Henan, suppliers' quotations were at premiums of -25~0 yuan/mt against the SMM 1# lead, or at premiums of -180~-150 yuan/mt against the SHFE lead 2506/2507 contracts ex-factory. In Hunan, after smelters completed shipments under long-term contracts, in-plant inventory of lead ingots also declined, with some reported premiums slightly narrowing. Spot order quotations were at premiums of -30~-20 yuan/mt against the SMM 1# lead average price ex-factory, and suppliers' quotations were at premiums of -200~-180 yuan/mt against the SHFE lead 2506 contract ex-factory. Today, lead prices fluctuated and consolidated, with downstream enterprises mainly picking up goods under long-term contracts as month-end approached, purchasing a small amount based on rigid demand, and spot market transactions remained sluggish.