The SHFE Lead 2510 Contract Achieved Smooth Delivery, Spot Supply Gradually Eased, Caution Against Lead Prices Under Pressure [Lead Futures Brief Review]

SMM October 15 News:

During the day, the SHFE lead 2510 contract settled at 17,200 yuan/mt, with a settlement price of 17,080 yuan/mt, open interest of 4,640 lots, delivery volume of 23,200 mt, and warrant inventory of 32,007 mt. The SHFE lead 2510 contract achieved a smooth delivery.

During the day, the most-traded SHFE lead 2511 contract opened at 17,040 yuan/mt, fluctuated upward after opening, and touched a high of 17,135 yuan/mt in the afternoon session amid a broad rally in nonferrous metals, finally settling at 17,110 yuan/mt, up 0.35%, recording a large bullish candlestick, with open interest of 44,032 lots.

In the spot refined lead market, supply of secondary lead gradually increased, while refined lead supply varied significantly between the north and the south. Downstream enterprises purchased selectively based on demand, with mediocre consumption performance. In terms of raw material supply, scrap battery and lead concentrates maintained a trend more likely to rise than fall, continuously providing bottom support for lead prices. With the peak season for battery consumption past its midpoint, end-user orders at some enterprises slightly pulled back compared to September. As secondary lead enterprises gradually resume production in late October and complete long-term contract deliveries, circulating supply in the lead market is expected to gradually loosen, potentially putting pressure on lead prices.

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