Increase in supply of primary lead and secondary lead; social inventory continues to rise [SMM social inventory of lead ingots]

        SMM News on July 7: According to SMM, as of July 7, the total social inventory of lead ingots in five regions tracked by SMM reached 57,900 mt, an increase of 1,500 mt from June 30 and an increase of 1,000 mt from July 3.

        Recently, lead prices have held up well and risen above 17,000 yuan/mt. The losses of secondary lead have narrowed, and the production enthusiasm of lead smelters has increased. Coupled with the gradual commissioning of new smelting capacity, there has been a phased increase in ingot supply. However, the current improvement in lead consumption is limited, and it cannot fully absorb the increased supply, leading to a continued increase in social inventory of lead ingots. Additionally, the SHFE lead 2507 contract is set to enter delivery next week. Considering that the current spread between futures and spot prices of lead exceeds 200 yuan/mt, some suppliers have plans to transfer to delivery warehouse, and it is expected that the social inventory of lead ingots will show an upward trend before delivery.