SHFE Lead Fluctuated Rangebound Intraday, with Bullish and Bearish Factors Continuing to Compete in the Short Term [Lead Futures Brief Review]

SMM Oct. 30:

The most-traded SHFE lead 2512 contract opened at 17,340 yuan/mt and fluctuated rangebound during the day, finally closing at 17,350 yuan/mt, down 0.03%, with open interest at 69,287 lots.

Recently, continuous inventory drawdowns in the overseas LME lead market have driven LME lead prices higher. Domestically, however, lead consumption weakened in the short term due to concentrated production cuts and suspensions at medium and large downstream enterprises, leading to a divergence in lead price trends between domestic and international markets and a gradual narrowing of the import window for lead ingots. Meanwhile, domestic lead ingot inventories remain low, and primary lead and secondary lead enterprises are expected to resume production after maintenance in November, further increasing demand for raw materials such as lead concentrates and scrap. Raw material costs have become one of the key factors supporting lead prices. In the short term, bullish and bearish factors continue to contend, and lead prices are expected to remain in the doldrums.

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