The US dollar index rebounded slightly overnight, while lead prices pulled back under pressure in the late trading session [SMM Morning Lead News]

SMM July 2:

Overnight, LME lead opened at $2,043/mt. During the Asian session, it fluctuated downward, reaching a low of $2,036/mt before rebounding slightly. Entering the European session, it climbed to a high of $2,051.5/mt. However, due to the upward movement of the US dollar index, LME lead faced pressure in the tail end of the session, jumping initially and then pulling back, and finally closed at $2,039/mt, down by 0.12%.

Overnight, the most-traded SHFE lead 2508 contract opened at 17,115 yuan/mt. In the early trading, it briefly touched a low of 17,110 yuan/mt. As short positions were reduced, SHFE lead fluctuated upward, reaching a high of 17,210 yuan/mt. In the tail end of the session, it dropped back slightly, and finally closed at 17,170 yuan/mt, up by 0.2%.

The shortage of waste lead-acid battery supplies in the market persisted, and the purchasing enthusiasm of some recyclers declined. "Purchase quotes were lowered, and recyclers waited passively for supplies." There is still an expectation of increased lead ingot supply in July, with some regions experiencing the arrival of imported crude lead. Downstream consumption remained weak, with battery producers holding high inventories of both raw material lead ingots and finished batteries. Overall, lead prices may continue to be in the doldrums in the short term.