Spot Lead Consumption Lacks Momentum, SHFE Lead Maintains Consolidation Trend [SMM Lead Morning Briefing]

SMM September 4:

Overnight, LME lead opened at $1,996/mt, fluctuating rangebound during Asian trading hours before rallying to $2,007/mt in European session. However, it erased all gains after bears increased positions, eventually hitting a low of $1,992/mt and closing at $1,994.5/mt, down 0.2%.

Overnight, the most-traded SHFE lead 2510 contract opened at 16,865 yuan/mt, maintaining a narrow fluctuation range after opening, with a session high of 16,890 yuan/mt before settling at 16,860 yuan/mt, down 0.06%.

After the SCO summit and military parade this week, logistics in the Beijing-Tianjin-Hebei region gradually resumed. While scrap recycling operations recovered, raw material supply in some areas may improve. However, production willingness among secondary lead enterprises remained weak in September, with most having shutdown or production cut plans. Demand for scrap is expected to stay limited, making it difficult to support significant price increases for waste batteries. End-use consumption showed no signs of recovery, and lead prices may maintain a fluctuating trend in the short term.

Data source statement: Except for publicly available information, other data were derived by SMM based on public information, market exchanges, and internal database models, for reference only and not constituting decision-making advice.