SMM Shanghai and other No.1 lead markets: Lead prices are in the doldrums, with differences in supply still existing between the northern and southern markets [SMM Midday Review]

        SMM reported on July 15: In the Shanghai market, Chihong and Honglu lead were quoted at 16,945-17,015 yuan/mt, with discounts of 60-0 yuan/mt against the SHFE lead 2508 contract. In the Jiangsu, Zhejiang, Shanghai market, Jijin and JCC lead were quoted at 16,985-17,005 yuan/mt, with discounts of 20-10 yuan/mt against the SHFE lead 2508 contract. Today marks the delivery day for the SHFE lead 2507 contract, and suppliers are adjusting their quotes in line with market conditions. Some prioritize deliveries, while others maintain discounted quotes for spot orders. Downstream buyers exhibit a strong wait-and-see sentiment, resulting in sluggish transactions in the Jiangsu, Zhejiang, Shanghai market. Meanwhile, there is a significant north-south divide in the supply of primary lead cargoes self-picked up from production sites. In northern regions, supply is tight, with some manufacturers experiencing long queues for cargo pick-up. In contrast, the southern market enjoys relatively loose supply, with some areas once again offering discounted quotes (against the SMM 1# lead average price), making it difficult for traders to sell their goods.

        Other markets: Today, the SMM 1# lead price fell by 25 yuan/mt compared to the previous trading day. In Henan, suppliers quoted premiums of 0-20 yuan/mt against the SMM 1# lead average price, or discounts of 150-120 yuan/mt against the SHFE lead 2508 contract for ex-factory delivery. Some manufacturers experienced long queues for cargo pick-up. In Hunan, suppliers quoted discounts of 20-0 yuan/mt against the SMM 1# lead average price for ex-factory delivery, with small-scale lead producers offering discounts of 30-10 yuan/mt. Additionally, some smelters in the region held back on sales, adopting a wait-and-see approach and suspending their quotes. In Jiangxi, smelters refused to budge on prices, quoting premiums of 120 yuan/mt against the SMM 1# lead average price for ex-factory delivery. During the day, SHFE lead prices were in the doldrums, with downstream buyers making just-in-time procurements. There was no significant change in market transactions.