SMM Shanghai and other 1# lead markets: Lead prices pulled back after surging, with downstream enterprises maintaining purchasing as needed [SMM Midday Review]

        SMM reported on July 7: In the Shanghai market, Chihong and Honglu lead were quoted at 17,090-17,175 yuan/mt, with quotations at discounts of 80-20 yuan/mt against the SHFE lead 2508 contract. In the Jiangsu-Zhejiang market, Jijin and JCC lead were quoted at 17,120-17,175 yuan/mt, with quotations at discounts of 50-20 yuan/mt against the SHFE lead 2508 contract. SHFE lead prices showed a volatile and pulling-back trend, with suppliers maintaining discounts for shipments. During this period, primary lead smelters offered cargoes self-picked up from production site at small discounts (against the SMM 1# lead average price). Secondary lead smelters also refused to budge on prices for shipments. Secondary refined lead was quoted at discounts of 50-0 yuan/mt against the SMM 1# lead average price, with a few discounts of 100 yuan/mt. Downstream enterprises purchased as needed, with some rigid demand favoring lower-priced secondary lead. The spot order market for primary lead was mediocre.

        Other markets: Today, the SMM 1# lead price fell by 50 yuan/mt compared to the previous trading day. In Henan, smelters offered ex-factory quotations at premiums of 0-20 yuan/mt against the SMM 1# lead average price, while traders offered ex-factory quotations at discounts of 200-160 yuan/mt against the SHFE lead 2508 contract. In Hunan, smelters maintained ex-factory quotations at discounts of 30-20 yuan/mt against the SMM 1# lead average price, while traders offered quotations at discounts of 220-200 yuan/mt against the SHFE lead 2508 contract. In Yunnan, suppliers offered ex-factory quotations at discounts of 220-200 yuan/mt against the SMM 1# lead average price. Lead prices fell sharply, with downstream enterprises hesitating to purchase due to fear of further declines. Some smelters slightly expanded discounts to sell off inventory, resulting in a slightly sluggish market for primary lead.